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Resolution No. 05-62 CITY OF TIGARD, OREGON - RESOLUTION NO. 05- A A RESOLUTION ACCEPTING THE FINDINGS AND RECOMMENDATIONS OF THE TIGARD DOWNTOWN IMPROVEMENT PLAN DETAILING TIS COMMUNITY'S VISION, GOALS, AND IMPLEMENTATION FRAMEWORK TO REVITALIZE DOWNTOWN TIGARD. WIIEREAS,the Direction Statement for Community Character and Quality of Life as stated in the Tigard Beyond Tomorrow 2004 Progress Report identifies the Main Street Area as a focal point for the community and calls for a clear direction for a"pedestrian-friendly Downtown"to be established and implemented;and WHEREAS,the City Council identified creation of a common vision for the Central Business District as a goal in 2003,redevelopment of the Central Business District as a goal in 2004,and the revitalization of Downtown Tigard as a goal in 2005;and ` WHEREAS,the Council adopted Resolution 03-15,which supported the City's application for a Transportation and Growth Management(TGM)grant application for state assistance in preparing a Downtovm revitalization plan; and WHEREAS,recognizing flit complex nature of redeveloping Downtown Tigard,the City Council established the 24-member Downtown Task Force; and WHEREAS,the TGM program awarded a grant to the City committing$127,610 for FY2004-05,to be used towards consultant services for the creation of the Tigard Downtown Improvement Plan(TDIP); and WHEREAS,a consultant was selected in June 2004 to work with the community,Downtown Task Force and City staff on the development of the Plan; and WI-IEREAS,in September 2005,the City, Oregon Department of Transportation and consultants expanded the scope of work to accommodate additional public outreach activities. The expanded scope of wont added significant consultant and stafftime,but procured valuable public input for the Plan. As part of the contract extension,the TGM grant was increased to a total of$155,140; and WHEREAS,the purpose of the Tigard Downtown Improvement Plan is to set tine vision for the Downtown Tigard of the future,establish guiding principles to guide future efforts,mid identify development types and catalyst projects needed to create a climate for investment;and WHEREAS,the TDIP Implementation Action Plan provides recommendations for the implementation of the Downtown Improvement Plan that will serve as a guide for futme actions in the area NOW,THEREFORE,BE IT RESOLVED by the Tigard City Council that: SECTION 1: The Tigard City Council accepts the findings and recommendations of the Tigard Downtown Improvement Plan as shown in Exhibit A. RESOLUTION NO.05- Page 1 SECTION 2: The Council directs the City staff to use the Plan's goals, objectives and recommended actions as a guide for future programming of Downtown improvements. SECTION 3: Council accepts the TGM grant products, including the Downtown Improvement Plan and associated documents(Exhibit A). SECTION 4: This resolution is effective immediately upon passage. PASSED: Tins ayof— T�2005. Mayor- ty of Tigard ATTEST: City Recorder-City of Tigai iwervvae�wiesi o�i v n oe wmPv�.�Wm im�mpe« RESOLUTTONN0.05- (Oa Page 2 Downtown Improvement Plan City of Tigard,Oregon Proposed Tigard Downtown Improvement Plan September 30, 2005 Preparedfor City of Tigard 13125 SW Hall Blvd. Tigard, OR 97223 503-639-4171 Prepared by Parametrix 700 NE Multnomah, Suite 1000 Portland, OR 97232-4110 503-233-2400 www.parametrix.com Downtown Improvement Plan City of Tigard,Oregon ACKNOWLEDGEMENTS Tigard City Council City of Tigard Staff Craig Dirksen, Mayor Craig Prosser, Interim City Manager Nick Wilson, Councilor James Hendryx,Community Development Sydney Sherwood, Councilor Director Tom Woodruff, Councilor Barbara Shields, Long Range Planning Sally Harding, Councilor Manager/Project Manager Beth St. Amand, Associate Planner/Assistant Tigard Planning Commission Project Manager Marty Anderson Thomas Imdieke,Interim Finance Director Gretchen Buehner Gus Duenas, City Engineer Rex Caffall Dick Brewersdorff, Current Planning Manager Teddi Duling Julia Hadjuk,Associate Planner Bill Haack Duane Roberts,Associate Planner Jodie Inman Denver Igarta,Associate Planner Katherine Meads Judy Munro(Vice-Chair) Technical Advisory Committee Mark Padgett(Chair) Paul Schaefer,Washington County Bob Melbo/Ed Immel and C. David Lanning, Alternate: ODOT Rail David Walsh Marc Guichard,Metro Steve Witter,TriMet Tigard Downtown Task Force Raphael Haou,ODOT Region 1 traffic Jim Andrews Jeff Boechler,ODFW Janice Arave Stacy Hopkins,DLCD Carolyn Barkley Sonya Kazen,ODOT Region 1 Planning/TGM Martha Bishop Gus Duenas,City of Tigard Marland Henderson Barbara Shields,City of Tigard Chris Lewis Beth St.Amand,City of Tigard Mike Marr(Chair) Judy Munro Oregon Dept. of Transportation Dan Murphy Sonya Kazen, TGM Grant Coordinator Jan Richardson Mike Stevenson Consultant Team Sue Wirick Parametrix Joshua Chaney David M. Siegel,AICP, Project Manager Ken Dawson Jennifer Hughes,Deputy Project Manager Craig Dirksen Jeff Mitchem,Urban Designer Heather Guevara Lauren Golden,Project Planner Paul Iford Susan Morelli Johnson-Gardiner Lisa Olson Jerry Johnson,Real Estate Economist Nicole Palmateer Yudhi Patel Kittelson &Associates Cathy Renken Beth Wemple, Transportation Planner John Wilson StastnyBrun Architects Don Stastny,FAIA,FAICP,Urban Designer Jennifer Mannhard,Project Designer Downtown Improvement Plan City of Tigard,Oregon TRANSPORTATION AND GROWTH MANAGEMENT PROGRAM This project is partially funded by a grant from the Transportation and Growth Management (TGM)Program, a joint program of the Oregon Department of Transportation and the Oregon Department of Land Conservation and Development. This TGM grant is financed, in part,by federal Transportation Equity Act for the 21st Century (TEA-21), local government, and the State of Oregon funding. The contents of this document do not necessarily reflect views or policies of the State of Oregon. Downtown Improvement Plan City of Tigard,Oregon PREFACE The primary objectives of the Tigard Downtown Improvement Plan(TDIP)are fourfold. First and foremost,the TDIP seeks to carry out the City Council's goal to revitalize Downtown Tigard. Second,the TDIP is a downtown"improvement"plan, one that builds upon the good"bones"of the current Downtown area,and that builds upon the sound foundation of community-based planning to serve as the"master conceptual plan" for the area. Third,an overarching objective of the Plan is to ensure that Downtown Tigard will serve the community's stated future needs for an active,mixed use "urban village". Finally, the TDIP must meet the objectives of the Metro Functional Plan for a Town Center,as that plan designates Tigard's downtown area as a Town Center. The TDIP aims to provide the blueprint for the evolution of Downtown Tigard into a vital, vibrant,mixed-use and pedestrian-friendly environment over the next 20-30 years. The TDIP summarizes the rationale for, and the evolution of,the conceptual design plan. It identifies development types and"catalyst projects",projects that are needed to jumpstart other development in the area and create a climate for investment. It promotes a multi-modal transportation system and concurrent development that is conducive to the planned evolution into a Town Center. No other Town Centers within the region encompass the environmental resource, transportation and market issues found in the downtown Tigard project area. The opportunities presented by the community's plan for an improved Downtown include: ➢ evolving into a vital Town Center which is unique to the area; ➢ enhancing the value of the Fanno Creek resource; ➢ unifying vacant, developed,and redevelopable land; investing in transportation improvements; ➢ making Downtown a desirable place to live,work and play; and ➢ creating a place with a cohesive community atmosphere,unique amenities,and infrastructure that will enable Downtown Tigard to operate independently of surrounding service and employment centers. Among the challenges in the Downtown Tigard area is the need to balance transportation improvements,protect natural resources and develop a Town Center. This will be accomplished by conservation and appropriate shared use of the significant Fanno Creek resource, creating and connecting green spaces throughout Downtown, extending the reservation of future street and pathway routes, capitalizing upon the advent of commuter rail service to the area, encouraging connections between developed and developing areas, and establishing an innovative implementation strategy for funding and carrying out the plan. The community developed a vision for the Downtown Tigard of the future, and established a set of guiding principles to direct future efforts, guide investment decisions, and serve as "measures of success". The TDIP recognizes that short-term redevelopment should not preclude long-term investment opportunities. It suggests that all development and all partners have a responsibility to demonstrate how they support a Town Center concept within the City of Tigard. Downtown Improvement Plan City of Tigard,Oregon TABLE OF CONTENTS PREFACE INTRODUCTION TO THE PLAN DOCUMENTS 1. PROJECT OBJECTIVES..................................................................................... 1 1.1 Introduction......................................................................................................... 1 1.2 Objectives ........................................................................................................... 1 2. EXISTING PHYSICAL CONTEXT.................................................................... 2 2.1 Introduction......................................................................................................... 2 2.2 Project Area ........................................................................................................ 2 2.3 Existing Environment......................................................................................... 2 2.4 Conclusions......................................................................................................... 6 3. DESIGN PROCESS OVERVIEW....................................................................... 7 3.1 Introduction......................................................................................................... 7 3.2 Forming the Foundation...................................................................................... 7 3.3 Outcomes-Based Vision...................................................................................... 9 3.4 Guiding Principles .............................................................................................. 9 3.5 Community Outreach.......................................................................................... 9 3.6 Decision Making Process.................................................................................. 11 4. THE PLAN ......................................................................................................... 21 4.1 Vision and Guiding Principles.......................................................................... 21 4.2 Great Ideas........................................................................................................ 22 4.3 Preferred Design Alternative ............................................................................ 23 4.4 Catalyst Projects................................................................................................ 23 4.5 Other Implementing Projects and Actions........................................................ 28 5. IMPLEMENTATION ACTION PLAN............................................................. 35 5.1 Introduction....................................................................................................... 35 5.2 How Will The Plan Be Carried Out?................................................................ 35 5.3 Implementation Action Plan............................................................................. 35 5.4 Programming Recommendations...................................................................... 36 5.5 Short-Term Incremental Implementation Strategy........................................... 36 5.6 Programming Concept and Conclusion............................................................ 37 Downtown Improvement Plan City of Tigard,Oregon INTRODUCTION TO THE PLAN DOCUMENTS Tigard's Downtown Improvement Plan is comprised of two major components: The Plan; and the Technical Appendices. A description of these two components is provided below. The Plan: An Overview Document The Tigard Downtown Improvement Plan(TDIP) document is a summary statement of the community's vision, direction, and commitment to action for the future of Downtown Tigard. As such, the Plan document itself will also be presented as a summary statement. This Plan document is focused on providing the vision, guiding principles and concepts behind the plan, the"preferred design concept"and"catalyst projects"recommended by the Downtown Task Force, and a preliminary implementation strategy for carrying out the plan. The background information providing the foundation for the community's policy decisions is contained within a series of technical memoranda attached to this document as appendices, and will be summarized or referred to in this overview document. The Technical Appendices: The Foundation The technical memoranda which comprise the technical foundation for the Plan have been compiled into ten(10)appendices. Appendices A,B and C are technical memoranda detailing the current conditions existing in Downtown Tigard with regard to the local economy and climate for development, the transportation system, land use and the regulatory context. Appendix D provides the story of how the community's vision for Downtown evolved into three iterations: an Initial Concept; a Refined Design Alternative; and a Preferred Design Alternative. This Preferred Design Alternative is the conceptual framework upon which future implementation actions will be undertaken. Appendices E and F contain the discussions and recommendations regarding the improvements and changes to the transportation system, land uses and local regulations needed to carry out the vision and the Preferred Design Alternative. Appendix G discusses the"catalyst projects"needed to create a climate for investment and to"jumpstart" development, identifies a range of potential funding sources, and recommends the City consider and implement an urban renewal district to help pay for public investment projects Downtown. Appendix H provides a summary of the community involvement process that provided the foundation, direction(and ongoing support)for the Downtown Improvement Plan. It contains a number of attachments that summarize: ➢ the Community Dialog process used to involve a broad cross section of the community in small-group meetings; ➢ the stakeholder group meetings held to address key issues such as transportation,the role of Ash Avenue in the Improvement Plan,and the development and financial feasibility (e.g.,a"reality check")of the draft concept plan; and ➢ other events and opportunities provided to solicit and capture public comment on the draft Downtown Improvement Plan. Appendix I summarizes and reconciles the results of the Economic Analysis Study from the TDIP with feasibility work done earlier by Tashman Johnson LLC for the Commuter Rail/217 Corridor Revitalization Feasibility Study. Appendix J presents the Implementation Downtown Improvement Plan City of Tigard,Oregon Action Plan for carrying out the TDIP. This implementation program focuses on the following: ➢ Recommended future transportation system improvements and any suggested changes to the City's Transportation System Plan; ➢ Recommended changes to the City's Comprehensive Plan, zoning code and implementing ordinances; and ➢ Recommended development and community projects important for creating a climate of investment Downtown, and recommended sources of funding for these and other improvements. Taken together, these appendices provide not only the foundation for the plan,but the tools and recommendations for the community to use to inform their decisions regarding carrying out the plan. Downtown Improvement Plan City of Tigard,Oregon 1 . PROJECT OBJECTIVES 1.1 Introduction Tigard has an historic downtown,with lots of character and a good foundation upon which to build for the future. In addition, there are some exciting new"coming attractions"that will have the potential to generate change, a good example of which is the soon-to-be-built Commuter Rail project stretching from Wilsonville to Beaverton. This planning effort will help the community and the City of Tigard balance anticipated future population with land use and transportation goals in the Downtown area. 1.2 Objectives The primary objectives of the Tigard Downtown Improvement Plan(TDIP)are fourfold. First and foremost,the TDIP seeks to carry out the City Council's goal to revitalize Downtown Tigard. Second,the TDIP is a downtown"improvement"plan,one that builds upon the good"bones"of the current Downtown area,and that builds upon the sound foundation of community-based planning to serve as the"master conceptual plan" for the area. Third,an overarching objective of the Plan is to ensure that Downtown Tigard will serve the community's stated future needs for an active,mixed use "urban village". Finally, the TDIP must meet the objectives of the Metro Functional Plan for a Town Center,as that plan designates Tigard's downtown area as a Town Center. The TDIP aims to provide the blueprint for the evolution of Downtown Tigard into a vital, vibrant,mixed-use and pedestrian-friendly environment over the next 20-30 years. The TDIP summarizes the rationale for, and the evolution of, the conceptual design plan. It identifies development types and"catalyst projects",projects that are needed to jumpstart other development in the area and create a climate for investment. It promotes a multi-modal transportation system and concurrent development that is conducive to the planned evolution of Downtown into a Town Center. How the neighborhood might change through property development or redevelopment actions or as a result of transportation projects is critical to the current and future lifestyle choices of the Downtown area. The overall goal of the TDIP is to design a Downtown neighborhood...an "urban village"...that integrates anticipated and desired changes into a clear and coherent strategy;preserves what is desirable in the area, and promotes a public "green"and open space character which is consistent with the City of Tigard's standards and its vision for the community and its Downtown. The TDIP is intended to prevent development from occurring in an uncoordinated manner, having the potential to result in precluding the development of the higher-density,mix of uses necessary to ensure a healthy and vibrant Downtown neighborhood. This plan is intended to respect the flexibility of existing residents and property owners with regard to the use of their property,while laying the framework for urbanization that will result in a distinctive, vibrant neighborhood. The TDIP establishes a framework to guide public and private investment and development in the Downtown area,resulting in a cohesive, functional, attractive and "uniquely Tigard"Downtown neighborhood. 1 Downtown Improvement Plan City of Tigard,Oregon 2. EXISTING PHYSICAL CONTEXT 2.1 Introduction Downtown Tigard is located within a unique setting, and possesses a transportation network and combination of existing land uses and physical features that present both opportunities and challenges for planning. This section provides an overview of the physical context for the DTIP. 2.2 Project Area Plan Area Description Located approximately seven miles southwest of downtown Portland, Tigard's approximately 146-acre Downtown core ("Plan Area")is bound by two state highways. Oregon Highway 99 West(OR 99W)defines the northwest boundary and Hall Boulevard(Beaverton-Tualatin Highway)defines the eastern boundary. The Southern Pacific and Burlington Northern rail lines bisect the Plan Area. The existing Fanno Creek Trail forms the southern boundary and also connects the Plan Area with the Regional Trails System and the residential areas to the south of the Downtown core. From the intersection of Hall Boulevard and OR 99W, the elevation slopes gradually down through the Downtown until reaching the Fanno Creek floodplain. Continuing south past Fanno Creek, the elevation gradually rises again. Given this topographical setting, the Downtown Tigard core rests in a small, shallow valley and is considerably lower than OR 99W,which displays very little grade change from the north to south ends of the Plan Area. Figure 1 indicates the vicinity and boundaries of the TDIP study area. 2.3 Existing Environment Land Use The existing uses in the Plan Area include retail, office,residential, auto-dependent businesses, and large-lot light industrial businesses as well as public park and civic service, and transit uses. Industrial uses are prominent to the southeast of the Plan Area. Retail commercial uses are concentrated to the northwest along OR 99W,and residential districts surround the Downtown core to the southeast and northwest. Based on a September 2003 Downtown land use and building inventory survey conducted by the City of Tigard, approximately 38 percent of land in the Plan Area is occupied by commercial uses,including office and retail as shown in the figure below. Industrial uses comprise approximately 14 percent of the land area, and government uses, including City services, transit services, and the US Post Office occupy approximately 18 percent of the land the Plan Area. The next largest use by land area is public parks,which occupy 16 percent of the land. Multi-family land use occupies approximately eight percent of the land area, and less than two percent each is classified as vacant land, single family, single family attached, or institutional. Lot sizes within the Plan Area vary widely. The average lot size is just less than one acre, while the maximum lot size is approximately 15 acres. The more compact lots are found along Main Street and on the south side of the Southern Pacific and Burlington Northern rail lines. Larger lots are concentrated along Fanno Creek and the southern half of Hall Boulevard. Existing area land use and zoning is depicted in Figure 2. 2 B r i R i M LT L� N i cR� x L r, T SB R ST b D ST D IN 7_ n Q - G J � � o y URHM i RD`.. z EBF BE D D ti JEA 1t RD Project Area Highways ill Railroad 'dater Features City Boundary Major Streets Other Streets Figure TIGARD DOWNTOWN IMPROVEMENT PLAN 9.6.05 1 Vicinity Map Ell ♦ .!fir i J �v .0 • • • • • t'arametrix Downtown Improvement Plan City of Tigard,Oregon Land Use by Acreage 01% ❑ 1% ❑Commercial ■2% o Government ❑ 16% ❑Industrial ❑38% ❑Institutional 08% E Multi-Family ❑2% ❑Park ❑Single-Family ❑ 14% ❑Single-Family Attached FLI 18% ■Vacant Transportation System All of the roadways within the project study area are two lane roads with the exception of Hall Boulevard and Oregon 99W. Hall Boulevard is a two-lane road north of Burnham Street and a three-lane road south of Burnham Street. There are bike lanes on both sides of Hall Boulevard. The roadway is ODOT jurisdiction and classified as a District Highway. The posted speed limit is 30 miles per hour near 99W and 45 miles per hour near McDonald Street. The Metro Regional Transportation Plan calls for widening Hall Boulevard to a five- lane road through the project study area. A major consideration in the Hall Boulevard project should be developing a street design that accommodates all modes of transportation and provides the connectivity needed between the new Tigard library, City Hall and Downtown Tigard. Oregon 99W through the project study area is a six-lane roadway under ODOT's jurisdiction. It is classified by ODOT as a Statewide Highway on the National Highway System. The current use of the railroad tracks for switching operations has a negative impact on traffic patterns on both Hall Boulevard and Main Street,with long lines of vehicles waiting as trains block the roadway for extended periods of time. The Washington County Commuter Rail Project,which forecasts start of commuter service between Wilsonville and Beaverton in fall of 2008,will drastically alter the appearance and character of the railroad through Tigard. Replacing the system of older tracks will be a modern two-track, fast-moving state-of-the-art passenger and freight railroad built to heavy-duty standards. With 40-plus train movements daily during the week(32 commuter and eight freight trains), the Beaverton-Tigard rail corridor will become one of the busiest segments of railroad in Oregon. 5 Downtown Improvement Plan City of Tigard,Oregon Natural Environment Downtown Tigard is bordered to the southwest by Fanno Creek and its associated riparian features. Fanno Creek flows from the intersection of Southwest Capitol Highway and Beaverton Hillsdale Highway(near Wilson High School)to the Tualatin River in the town of Durham. Fanno Creek and its tributaries drain about 7,800 acres of residential land, open space and undeveloped forested areas. The watershed supports diverse wildlife species including amphibians, reptiles,birds, fish and mammals.Although half the land is open space or undeveloped, the area's steep slopes and clay soils create relatively high stormwater volumes. The lower portion of the watershed is heavily urbanized. Fanno Creek flows for approximately nine tenths of a mile within the Plan Area along its southwestern boundary. Several delineated wetlands are associated with Fanno Creek within the Plan Area,and Fanno Creek's 100-year floodplain ranges from approximately 50 feet on either side of the creek's centerline near Main Street to approximately 375 feet on either side of the creek's centerline near Ash Avenue. 2.4 Conclusions Land use,along with transportation, economic development,and urban design, is a central component to creating the best conditions for a vibrant downtown. The current land uses are lacking in medium to high-density residential dwellings and are dominated by commercial development and light industrial/office buildings with little pedestrian-friendly orientation. Outside of Main Street,the existing buildings do not create a sense of place and cohesive function,but rather appear to be spread out and auto-dependent. Developing improved vehicular circulation within the downtown area and between Downtown and other activity centers within the community and improved bicycle and pedestrian connections are needed to provide for easier access and choice in mobility. The advent of Commuter Rail service will drastically alter the appearance and character of the railroad through Tigard. This presents both an opportunity and a challenge with regard to providing for transportation choice and influencing development Downtown. The railroad tracks themselves present a challenge regarding delays to traffic and concerns with safety. The presence of Fanno Creek, its floodplain and associated wetlands present a unique opportunity for the future Downtown neighborhood. Such close proximity of a quality environmental resource will allow for recreation and active or passive open space not frequently seen in a downtown area. 6 Downtown Improvement Plan City of Tigard,Oregon 3. DESIGN PROCESS OVERVIEW 3.1 Introduction In developing the Plan,a phased, iterative process was used to get from current reality to recommendations for the future. Initial research,followed by brainstorming and community dialog led to formation of a vision for downtown. Visioning led to discussion and analysis of alternatives,and consideration of alternatives led to identification of projects and implementing actions. The following sections portray how the City's history of forward thinking set the stage for the visioning and planning to come. 3.2 Forming the Foundation Prior to engaging in"looking forward"and envisioning a future set of desired outcomes, it is necessary to have a firm foundation of information,a sense of"where we've been"and "where we're starting from". Federal, state,and local plans and regulations have an impact upon the development of a town center and downtown improvement plan for Tigard. Talking with citizens,Downtown Task Force members and City staff helps to provide a bit of history with regard to previous efforts,the lay of the land and community perceptions. Finally,an examination of existing conditions associated with land use and development,transportation facilities and services,and the local and regional economic climate yields information on opportunities to pursue,and constraints to avoid. Previous Plans and Studies The City of Tigard's long-standing partnership with its citizens and commitment to creating a vibrant downtown is evident in the efforts begun in the early 1980s to empower citizen task forces. Although the appearance and function of the Downtown core has not changed during the past 20 years, it is not because of a lack of effort, study,and collaboration. The present planning process leading to the development of a specific action plan for Downtown improvement does not ignore the past work by the Tigard community; rather, it builds upon it. A partial listing of the key plans and studies that helped form the foundation of the current effort is summarized below. Oregon Downtown Development Association Resource Team Report The 2000 Resource Team Report, written by the Oregon Downtown Development Association(ODDA)for the Tigard Central Business District Association,provided findings and recommendations for Downtown revitalization generated by ODDA's three-day intensive visit to Tigard. It contained opinions of local business owners, a market analysis,and identified possible improvement concepts primarily focused on Main Street. The report provided recommendations on: ➢ Strengthening Image and Sense of Place ➢ Enhancing and Creating Public Space ➢ Encouraging appropriate use and design of private space Tigard Beyond Tomorrow Beginning in 1996 residents, City staff,business owners and community leaders came together to define a vision for the entire City of Tigard on issues of public safety, urban and public services, schools and education, growth and growth management, transportation and 7 Downtown Improvement Plan City of Tigard,Oregon traffic, and community character and quality of life. Tigard Beyond Tomorrow contained six specific visions or"Direction Statements", one for each of the major subject areas, and a set of guiding statements that serve as the overall guide for this planning and visioning effort. Goals defined within the Community Character& Quality of Life section of Tigard Beyond Tomorrow that directly affect Downtown Tigard strive to achieve a future where "The Main Street area is seen as a `focal point' for the community,"and where"a clear direction has been established for a pedestrian-friendly downtown and is being implemented." Downtown Tigard Survey In an effort to better understand the reasons people use Downtown Tigard and to inform the Downtown Improvement Planning process, Tigard's Downtown Task Force conducted a 10- question community survey in Spring and early Summer 2004. The Task Force visited local community groups, city committees, local events such as the Balloon Festival and the Farmers' Market, and met with local business owners. At these events, the Task Force provided an overview of the process and asked people to fill out the survey. The survey was self-selected. The results as tabulated in September 2004 provide a snapshot of how the 588 survey respondents, 61 percent of whom live in Tigard,view the existing Downtown,why they use it, and what they think about it. State, Regional and Municipal Plans and Policies In addition to the above-mentioned downtown-related studies,pertinent State,regional and local plans, administrative rules and codes were reviewed for relevance and with regard to potential guidance for the DTIP. These sources included: ➢ Oregon's Statewide Planning Goals ➢ Oregon Administrative Rule on Transportation Planning ➢ Oregon Transportation Plan ➢ Oregon Highway Plan ➢ Metro's 2040 Growth Concept and Framework Plan ➢ Metro Title 6: Requirements For Town Center Planning ➢ City of Tigard Comprehensive Plan ➢ City of Tigard Transportation System Plan ➢ City of Tigard Development Code and implementing ordinances Baseline Research/Opportunities and Constraints To further form the foundation for planning, a detailed analysis of the local economy,land uses and transportation system was performed. An Existing Conditions/Opportunities and Constraints Report(Appendices A,B and C)describes planning and transportation baseline information for the Tigard Downtown Improvement Plan(TDIP). The purpose of gathering and analyzing this information was to: ➢ Summarize and briefly analyze the existing land use, natural environment and transportation system conditions and issues within the study area. ➢ Summarize the planning and regulatory context of this project and to highlight those policy,planning and regulatory requirements that may have an impact upon the TDIP. ➢ Briefly discuss which aspects of the information could be considered as opportunities or as constraints toward achieving the objectives of the Plan. 8 Downtown Improvement Plan City of Tigard,Oregon 3.3 Outcomes-Based Vision A"vision"is a statement picturing a future, an end-state, of desired outcomes. Too often future plans are prepared on the basis of trying to keep up with a projected trend or scenario. By taking the time to look at current circumstances and resources, and entering into public discussion of desired outcomes for the future, a community can take control of their future by taking actions that are aimed at fulfilling clearly stated objectives. The City's history of thinking about the future of its downtown provided a natural platform for developing a clear statement about a desired future. The Downtown Task Force examined the foundation of information, and painted a picture of how they pictured their desired Downtown, 20 to 30 years in the future. The result of this work is reflected in the upcoming section, "The Plan". 3.4 Guiding Principles How do you know when you've been successful? What criteria do you use for evaluating proposed ideas and alternatives? By taking the"visioning"conversation further,the Task Force articulated the tests that would be used when different proposals for carrying out the vision were raised. The guiding principles established by the Task Force for the planning work they undertook to achieve the vision are contained in the discussion of guiding principles in the section entitled"The Plan". 3.5 Community Outreach For any plan to be successful,there must be broad-based citizen and stakeholder input. This facilitates "buy in" and ownership of the Plan. The current effort to develop the Tigard Downtown Improvement Plan has been citizen-based, and has been led by the City's appointed Downtown Task Force. Downtown Task Force Meeting on a monthly basis,the Downtown Task Force's meetings were advertised and open to the public, and the public in attendance was offered the opportunity to participate in discussions and to offer comments and advice. The following discussion provides an overview of the major Task Force and public participation components of the planning process. The Task Force,working as a committee of the whole or in smaller"working groups," actively participated in the development of all facets of the Plan. In keeping with this direction,the monthly meetings of the Task Force were frequently supported by work sessions with the consulting team. The Downtown Task Force conducted two rounds of smaller-group public meetings ("Community Dialogs")to discuss the plan and obtain comments and advice,reaching over 280 citizens in the process. Task Force members also actively participated in the two major public events conducted in support of developing the plan. Community Dialogs As noted above,the Task Force conducted smaller-group meetings with a variety of interest groups and stakeholders to explore issues, concepts and priorities for a future downtown. The purpose of the Dialogs was to engage the public in a structured,creative and well- documented conversation about the TDIP: its overall purpose, key products, and specific opportunities for public input. In October 2004, during the initial round of Dialogs, 26 public meetings were held by the Task Force and City staff to discuss and obtain comments on the 9 Downtown Improvement Plan City of Tigard,Oregon project, opportunities and constraints,the vision and guiding principles, and the preliminary design concept. Following a workshop and several other special-focus meetings, a second round of 24 Dialogs was held in the spring of 2005 to again share information at the smaller- group level and obtain comments and advice on a much-refined concept plan,potential key projects, and initial ideas regarding plan implementation. All told,over 280 citizens participated in the Design Dialog sessions. Prior to each round of Dialogs, an outreach packet was prepared to assist the Task Force members in conducting them. These packets contained general background information, a vocabulary and descriptions of urban design concepts, supporting graphics, and suggested questions and discussion points. Public Workshops Two major public events were held in conjunction with the plan development process. An initial public workshop was held on December,4,2004, to present the vision, guiding principles and plan concept, and to discuss and receive input on the"great ideas"that would eventually be fleshed out into key "catalyst projects"that would create a climate for investment and stimulate development. Following substantial further work on the plan,the Task Force held a second major public event, a community open house,on April 23,2005. This event focused upon sharing the Preferred Design Alternative with the public, discussing how the plan could be financially implemented, and providing an overview of the next steps in completing the plan. The open house featured a panel of elected and appointed state, regional, county and local elected and appointed officials, discussing potential sources of funding,the intergovernmental and public-private partnerships required to carry out the plan, and how citizens could play a role. Special-Purpose Outreach As the project progressed, it became apparent that the project, stakeholders and the community at large would benefit from additional,topic-specific outreach and communication. Accordingly,the scope of the project was amended to accommodate three special-purpose outreach forums to address: ➢ Coordination of multi-agency transportation issues; ➢ The role of Ash Avenue and its potential extension across Fanno Creek; and ➢ The development feasibility of the proposed plan concept, in which a group of local and regional developers were invited to participate in a"reality check"on the draft TDIP concepts. Memoranda providing an overview of these three forums (and summary meeting notes) are provided in Appendix H to this document. Technical Advisory Committee In addition to the Task Force's leadership,the City of Tigard convened Technical Advisory Committee (TAC)to provide technical input and review of project issues and products. The TAC met four times during 2004 and 2005,providing input on a wide range of issues. In addition to City of Tigard staff,the TAC included representation from: ➢ Washington County,Dept.of Land use and Transportation ➢ Oregon Dept.of Transportation(Rail,Traffic,Transpt&Growth Management) ➢ Metro ➢ TriMet )0- Oregon Dept.of Land Conservation and Development 10 Downtown Improvement Plan City of Tigard,Oregon Task Force Working Groups The Downtown Task Force formed three Working Groups to address projects,tools and techniques for carrying out the plan in three categories: Financing; Catalyst Projects; and "Brand Tigard"projects. An overview of the charge of each of the three implementation Working Groups is provided below. ➢ Catalyst Project Working Group Charge: What are the major projects or developments that will serve as the"catalyst" for generating momentum...for leveraging additional progress and additional development? A"catalyst"project is a significant improvement,one that helps create a climate for additional development and investment by substantively altering the development environment and generating related or complementary development efforts. In addition,what actions need to be taken to pave the way or create the climate conducive to carrying them out? ➢ "Brand Tigard"Working Group Charge: Discussing and identifying the many small projects that help create an identity or"brand"help focus attention on Downtown, and generate and maintain momentum. Successful downtown planning efforts are supported by many small projects that help create an identity or"brand",help focus the public's attention and generate and maintain momentum. Using the Guiding Principles as a framework, what are those projects and activities, and how can they help achieve them? ➢ Finance Working Group Charge: Identify the funding sources and financing tools available to pay for major and minor improvements, and provide direction on what sources or tools might be appropriate for Tigard in carrying out the Guiding Principles and funding the catalyst projects. What are the funding sources and financing tools available to pay for these improvements...initially and over time? What sources or tools are appropriate for Tigard, and what is the City willing to "put on the table"to generate momentum and attract investment? The three Working Groups made their recommendations to the Task Force and the consulting team. The recommendations of the Working Groups guided the preparation of the Preferred Design Alternative (specifically with regard to the identification and location of catalyst projects), and informed the identification of all other implementation projects, actions and programming recommendations. 3.6 Decision Making Process Introduction The City of Tigard,through its Downtown Task Force, directed its staff and consultants in applying their expertise to help the community develop its vision and plan for improving Tigard's downtown. The planning process was to be open and transparent, and was to be the community's plan, not that of the consultant, or any one interest group. This section speaks to the key steps in the development and evolution of the conceptual plan for Downtown: ➢ Education and identification of key urban design concepts as they pertained to Downtown; 11 Downtown Improvement Plan City of Tigard,Oregon ➢ Engagement in a visioning exercise; and ➢ Evolution of the conceptual plan from an Initial Alternative to a Preferred Design Alternative. Key Urban Design Concepts The Task Force launched the planning process by holding a walking tour through the study area with the consulting team in order to share perceptions, ideas and desires for what downtown Tigard might be like in the future. The Task Force members then took individual walking tours to identify places and features that would help form an opportunities and constraints map to serve as the foundation for an initial design concept. After an"Urban Design 101"course, Task Force members were asked to identify: ➢ Where were the "pathways": channels along which people customarily,occasionally or potentially move? ➢ Where were the "edges": linear barriers that restrict lateral movement? ➢ Where were the "districts": multiple-block"mini-neighborhoods"which people can go mentally inside of, and which have some common identifying characteristics or association? ➢ Where were the "nodes": block-size or smaller"points"of concentrated activity through which people pass? ➢ Where were the "landmarks": singular features that contrast with their background, occupy a prominent location or distinctly define a place? This activity and the information it generated helped prepare the Task Force for their smaller- group discussions with the public,described above under"Community Dialogs". The compilation of the Task Force's identification of these urban design features Downtown informed the development of the Initial Design Alternative,and is depicted in Figure 3. Visioning and Design Concepts The following generalized steps were completed to determine the community's vision for their Downtown: ➢ Begin with the end in mind thinking in terms of consequences of potential scenarios, and of the tools and actions that might be needed to carry them out. ➢ Think about how Downtown might change over time without having a plan. ➢ Identify what things the community and stakeholders are concerned about,and what opportunities they see. ➢ If you were to go away for 10 to 20 years,and then return to Tigard and take a walk through Downtown,what would you see? What did you see that you liked? What didn't you like? ➢ Develop your vision of an improved Downtown of the future. ➢ Identify measures of success to be used as guiding principles in preparing the plan and evaluating concepts discussed through the planning process. ➢ Develop an initial design concept for carrying out the vision,based upon what's known collectively about the area. ➢ Brainstorm ideas, generate discussion and ascertain reactions to concepts in large and small-group workshop and discussion settings. and reaction generate public ➢ Test concepts against the guiding principles ➢ Refine the concepts,and clarify the projects and implementing actions needed to carry them out. ➢ Provide clear guidance to the community on how to achieve the vision, guiding principles,projects and outcomes identified within the Plan. 12 Downtown Improvement Plan City of Tigard,Oregon As mentioned in the Technical Memorandum discussing the"Evolution of the Conceptual Design Plan",the TDIP process was evolutionary in nature. In this process,three successive iterations of a conceptual plan would be developed: an Initial Concept; a Refined Alternative;and a Preferred Design Alternative". This iterative process was informed by community participation throughout. Evolution of the Plan Three iterations of the conceptual plan for Downtown Tigard were prepared during the course of this planning effort: an Initial Concept; a Refined Alternative; and a Preferred Design Alternative. These iterations had a common foundation, depicted by the Figures 1 through 4, and defined as follows: 1. The Bones (Figure 4). The existing transportation system of local roadways, state highways and the railroad constitute the"bones"upon which the plan is based. The existing freight railway will be sharing the same right-of-way as the planned future Commuter Rail,a key component of the downtown environment. Key roadways upon which downtown depends are Commercial and Tigard Streets, west of Main Street and parallel to the railroad; State facility Hwy 99W, major arterial Hall Boulevard; and three important downtown collectors—Main, Scoffins and Burnham Streets. 2. Key Opportunities For Enhancement(Figure S). The planning team next looked for opportunities for enhancing access, service and movement within the study area. These included a number of key intersections involving the"bones"mentioned above and the Fanno Creek trail. In addition,the downtown collectors and Hall Boulevard were identified as having the opportunity for significant streetscape enhancement, consistent with the desire heard through the Design Dialog and Task Force discussions for"green streets". 3. Conceptual Frame (Figure 6). Adding to the infrastructure upon which the iterations of the plan would be hung was the concept of a"green cross",with the intersection near the future Commuter Rail station. The"green cross"concept arises out of the statement in the vision recognizing that natural resources are to be viewed and used as an asset,and the guiding principle that"Downtown should recognize the value natural resources provide as both an amenity and as a distinct and special place."The Design Dialog and Task Force discussions clearly indicated a desire to build upon the natural features of the community, particularly Fanno Creek. Discussions turned to two questions: how best to conceptually or physically link downtown to Fanno creek, and what to do with the possibility of excess railroad right-of-way transecting the study area? What key clues did this provide for an initial design concept? The initial concept of providing"green fingers"...natural or open-space corridors that would bring the environment into the city...spawned the discussion of a"green cross"; a green corridor/urban creek running from Fanno Creek to the northern portion of Downtown,and the potential opportunity provided by excess railroad right of way for a pedestrian pathway running primarily east-west 4. Conceptual Organization (Figure7). Building upon the bones,the opportunities for enhancement of existing infrastructure and the concept of the"green cross",the Task Force set about conceptually organizing future land uses to build upon what they liked that currently existed,and to take advantage of potential opportunities, such as: ➢ The commercial potential near the intersection of Hwy 99W and Hall Boulevard 13 Downtown Improvement Plan City of Tigard,Oregon ➢ The opportunity for residential and mixed uses within walking distance of the commuter rail station ➢ The active and passive open space opportunities afforded by Fanno Creek ➢ Building upon the historic retail location of Main Street ➢ Focusing office, employment and some residential uses east of Ash Avenue These four primary steps set the stage for the work of the Task Force in developing the Initial Concept plan,and in identifying"catalyst projects"...key projects that would help jump-start the process of downtown's improvement and create the climate of investment attractive to developers. The evolution of this design concept will be briefly discussed below and illustrated in accompanying Figures 8 through 10. Initial Design Alternative The Initial Design Alternative was a"bubble diagram"illustrating initial land use and circulation concepts(see Figure 8). Based upon identified opportunities and constraints and the initial vision and guiding principles for the TDIP,this graphic roughly suggested: ➢ where key transportation(vehicular and pedestrian) linkages might be needed; ➢ where potential concentrations of retail,housing and employment uses might be generally located; and ➢ where opportunities existed for improving the overall access to and potential use of Fanno Creek. Refined Design Alternative Informed by the Design Dialog smaller-group meetings and Task Force work sessions,the work associated with the Refined Design Alternative (Figure 9)took the initial concept quite a bit further through three main concepts: 1. Great Ideas: The consulting team took the suggestions and comments received from the public and the Task Force and synthesized them into "Great Ideas"that would later be fleshed out into key"catalyst projects",projects that would create a climate for investment and stimulate Vision and Guiding development(attached to this memorandum). PClnCiples 2. Districts: The Refined Design Alternative organized F the downtown into "districts": multiple-block"mini- Z "Great Ideas" neighborhoods"which have some common identifying W `Initial ae5ign Alternative characteristics or association. This step helped the Task Force and the community understand and further develop J the relationship of various land uses to the others,and to 7 Workshop#1 provide additional guidance on connections and a Refined Design compatibility. v Alternative 3. Development Feasibility: The Refined Design m Alternative illustrated how potential development types 7 could be situated within the various districts. These d Workshop#2 prototypical, fictional building footprints were meant only Preferred Design to show possibilities, and did not take property Alternative ownerships and most existing buildings into account. This spatial/graphic organization of development types Implementation helped to convey a sense of or one scenario (of infinitely -Actions 14 -Updates Downtown Improvement Plan City of Tigard,Oregon many) for how development could populate the districts downtown. Now that it was known that"it could be done",attention could turn to the identification of catalyst projects and further refinement of outstanding issues. Preferred Design Alternative The Preferred Design Alternative further reflected changes resulting from the Task Force's consideration of the extensive public comment received. The most noticeable of these concerns the treatment/extension of Ash Avenue,the location of a Performing Arts and Community Recreation Center, how access points to Downtown would be addressed, and additional refinement to the treatment of Fanno Creek and related resources. The Preferred Design Alternative is further discussed and presented in the section discussing The Plan, below. 15 h � 7 ' — JL - /moi u�? Irk 3, ♦ ' N ♦ ♦ \ \ \ F i � r � . r.r City of Tigard NODE LANDMARK PATH DISTRICT EDGE not to sc2llc Figure ® TIGARD MOWNTOWN IMPROVEMENT PLAN 9.13-2004 J.- 3 URBAN DESIGN OPPORTUNITIES '�/ I �.�� i 'lilr I J ,wlu. � r � - � I/ r I ( s i v I ( ♦ ��� ♦ �� ��� T pil- LIM PF t� • J .I P OF wii ♦ ♦ - '�► �►�'' � fir% oil� 0 +J • c Conceptual OrganizationParametrix ,�,� Imo♦ � �� �I� r . � ��� � .u� fir,, • °o ''�':- � �! s�' � �"`��� / � .� ♦• ► � � � �� � �.. i�j",` Gam' �'��,�'1 i C o • �� � ��'_ �' / ��` �tit II tFt � s c Ilu ����., , � � # •� � y ISI i�! � RESIDENTIAL RESIDENTIAL OFFICE MAIN STREET CIVIC FLEX MEDIUM DENSITY HIGH DENSITY EMPLOYMENT RETAIL EMPLOYMENT Ll WA ' Parametrix • ■ 'e n 4 If H / `i. '��R � S•�\ � 'wi�ix3' � E�*may, ,�, E f•� � , ti. 4 ♦`,ice �''� � a Illf� •0 ..��f/ \ "'Q � ~lam �'( r"'s fg •• fry =t. �• �" T _ nh • • r' .fit. a: I e2 E'. (D-- �_ • . . • • • Parametrix Downtown Improvement Plan City of Tigard,Oregon 4. THE PLAN The types and arrangements of land uses,transportation facilities,public and private sector projects and activities greatly affect the character of a Downtown. The efforts of the Downtown Task Force and the community at large described in preceding sections are reflected in the Downtown Improvement Plan, summarized in this section. 4.1 Vision and Guiding Principles The Vision Following the initial"grounding"and perception-sharing process, the consulting team worked with the Downtown Task Force in a workshop setting to develop a 20 to 30-year vision for Downtown Tigard. The following vision was generated by the Task Force: "Our vision of Downtown Tigard is a vibrant and active urban village at the heart of our community that is pedestrian oriented, accessible by many modes of transportation, recognizes and uses natural resources as an asset, and features a combination of uses that enable people to live, work,play and shop in an environment that is uniquely Tigard." Guiding Principles To ensure the planning effort was focused toward achieving the vision,the Task Force developed a set of guiding principles reflecting desired outcomes. The guiding principles, also served as criteria against which the Task Force evaluated the success of the various iterations of the concept plan. These Guiding Principles are as follows: ➢ The vision for an improved Downtown Tigard must reflect the community's values and cultures. ➢ Downtown Tigard should possess the qualities essential to successful downtowns, including: o Extended hours of operation...not"folding at 5:00" o A mix of employment,retail,housing and cultural/entertainment uses o Providing a unique experience not available elsewhere in the community o Possessing a"sense of place"with a special identity o Being seen as the"center"or the"heart"of the community o A vibrant and compact core,accessible by all modes of transportation o A feeling of accessibility and safety o Accessibility in varied climatic conditions (e.g., throughout the various seasons of the year) ➢ Downtown should recognize the value natural resources provide as both an amenity and as a distinct and special"place". 21 Downtown Improvement Plan City of Tigard,Oregon ➢ Planning for Tigard's Downtown should capitalize on commuter rail and Fanno Creek as catalysts for future investments and development. ➢ The Downtown's transportation system should be multi-modal, connecting people,places and activities safely and conveniently. ➢ Downtown Tigard's streetscape and public spaces should be pedestrian- friendly, and not visually dominated by the automobile. ➢ The Downtown Improvement Plan should be forward thinking,with objectives and actions that will set the community up for future successes. ➢ Downtown improvement projects should make creative use of unused and underutilized properties, while maintaining and building upon Tigard's history. ➢ The Downtown Improvement Plan should be outcomes-based and action- oriented,with an array of key signature projects capable of being carried out. ➢ City codes and regulations should enable the Downtown Improvement Plan's vision to be carried out,recognizing the difference between Downtown and other commercial centers. 4.2 Great Ideas The suggestions and comments received from the public and the Task Force during public outreach events were synthesized into "Great Ideas". These ideas involved things that could make Downtown Tigard truly unique, things that would later be fleshed out into key"catalyst projects"that would create a climate for investment and stimulate development. The Great Ideas included the following: Evolution of Main Street: A two-sided retail street with unique small-scale shops bordered to the south by a pedestrian promenade with pocket parks, fountains and plazas. The Heart of Downtown: A central gathering place adjacent to Fanno Creek supporting a diverse range of activities including a farmers market, entertainment, restaurants, retail and housing. Mixed Use Urban Village: A walkable village with ample opportunity for all ages to live, work and play A New Transportation System: A safe and well-connected street system providing walking,bicycle, auto and transit access throughout Downtown. Green Connections: A pervasive blend of pedestrian oriented natural features throughout Downtown including wide sidewalks, linear parks,water features, trees, native landscaping, pocket parks and plazas, and etc. Transit Options: Service and facilities enhancements designed to meet the needs of Tigard's growing Downtown employment, residential and visitor populations. 22 Downtown Improvement Plan City of Tigard,Oregon 4.3 Preferred Design Alternative The Preferred Design Alternative(Figure 10)took the prototypical development"footprints" off the map, indicating instead the general location of development types. In addition,the Preferred Design Alternative reflected changes due to the Task Force's consideration of the extensive public comment received. The most noticeable of these concerns Ash Avenue. A proposed extension of Ash Avenue across Fanno Creek into Downtown was removed,as was a proposed at-grade crossing of the railroad tracks. Should a need be identified in the future for these,the configuration of the plan would not preclude it. A Fanno Creek overlook and a pedestrian bridge linking the neighborhood east of the creek have taken their place. The general location of a possible performing arts and/or community recreation center was adjusted to provide some additional distance from emergency services facilities (primarily for siren noise considerations). In addition,key intersections/access points to Downtown were highlighted to reflect their special role and potential location for future gateway improvements. Finally,the Fanno Creek"public area"was presented in a more generalized manner,reflecting that no firm decisions were to be made at this time with regard to the specific uses and design considerations for this space be it active,passive,or some combination thereof. As referred to above,the organizational concept of"Great Ideas"resulted in the generation of eight,key"catalyst projects",those that would create a climate for investment and stimulate development. The locations of these catalyst projects are described in the section that follows,and identified on the Preferred Design Alternative graphic. 4.4 Catalyst Projects The term"catalyst project" is used within this Plan to refer to complex projects having the ability to substantively alter the development environment in the study area. These projects represent key components of the overall plan,and their development would be expected to serve as a catalyst for development in the study area consistent with that outlined in the plan. In most instances, each catalyst project is an idea or a program requiring a refinement study to pin down a concept,a location,a footprint or criteria for subsequent development proposals. Eight catalyst projects were identified by the Downtown Task Force and the Catalyst Project Working Group. Each of these projects is noted on the Preferred Design Concept map (Figure 10),and a brief description of each one,and its attendant benefits, is provided below. In the short description of each catalyst project,the proposed preliminary"set-up"tasks or refinement study is briefly described. As will be noted in the Implementation section of this Plan, initial recommendations for programming and carrying out these components have been provided in Appendix J to this document. As indicated throughout the TDIP,the Plan is a dynamic framework for action,and as such, is to be revisited on a regularly scheduled basis to recognize changes in resource availability, external conditions, changes in public preference for action or for geographic concentration and to take advantage of opportunity. Accordingly,the priority of catalyst projects,programs and supporting actions is best left to the recommended,regularly scheduled TDIP programming update to reflect the aforementioned influences. 23 "M pil f ♦ . f PFA � J ol � �. ♦.�•� ,,� SWI .i�e�♦yv �° ��i . �-- ENHANCEMENTS �. 1 *1 `' State Highway . � il - 44T 4�T -E*�A.l�i GREEN CORRIDOR URBAN CREEK C:' bio_s ales,water retention pedestrian priority,etc. ASH AVE.DOWNTOWN FANNO CR PERFORMING RELOCATED Z.tive vegetation,Trail IMPROVEMENTS PUBLIC AREA ARTS CENTER POST OFFICE pervious pavement,etc.0park biocks/one-way couplet,GREEN STREETS periodic auto closure, YMAMFM p • - ' • •D • Parametrix Downtown Improvement Plan City of Tigard,Oregon Streetscape Enhancement Program Streetscape improvements enhance the"public space"environment,and would include an overall streetscape design theme for the Downtown area,and design and street function improvements to specific streets,gateways,public spaces,rail crossings and the commuter rail station. Increasing the attractiveness of public spaces has a positive impact on local properties,and can encourage cross-shopping and more extended stays in the district. A positive public space will help attract development. Improvements would include streetscape design and street function improvements for Burnham, Main, Commercial, and Scoffms, and gateway/portal improvements at Scoffins, Main, Garden Place, and Tigard Street. Green Corridor/Urban Creek The concept of developing an"urban creek" seeks to establish a unique feature that reinforces the concept of a"green downtown",providing a thematic linkage to Fanno Creek, and helping to establish a unique identity for Downtown Tigard. Connecting the two anchors of Fanno Creek and the Regional Retail Area(another of the proposed catalyst projects)at Hall Boulevard and 99W,the Urban Creek could be a natural appearing creek,portions of a creek or a series of water features linked by plazas, or some other combination of water and public space/amenity. The Urban Creek would be integrated with new and existing development, providing an alternative"front door"to redeveloped properties along its length. In addition to the creek or water features,this major public amenity would be accompanied by plazas or open spaces,pedestrian walkways,a service road,and landscaping. This project would have an organizing impact on the study area,defining a clear pedestrian link and providing an amenity that future development can capitalize upon. Future projects bordering the green corridor would be encouraged to orient activities to take advantage of the "waterfront"or public space value of this amenity. In addition, depending upon final design, the Urban Creek could serve as a means for stormwater conveyance and treatment, or could potentially demonstrate the use of recycled water. Regardless, this project serves the dual role of development stimulant while connecting Downtown areas. Determining the design concept, form and"footprint"of the Urban Creek requires a detailed feasibility study to ascertain public preference,preliminary design, constructability and cost. It will be important to protect the potential footprint of this amenity pending completion of the feasibility/preliminary design work. For this reason, a temporary overlay zone or other method of ensuring review and coordination of potential development proposals that might have the ability to limit or preclude options for its location is being proposed. Hall Boulevard Downtown Gateway Hall Boulevard provides a natural gateway into Downtown Tigard, given its intersection with Highway 99W. This key gateway with its prominent visibility from Hwy 99W is proposed to be developed with regional mid-sized retail with parking and a public plaza space. The purpose will be to pull people into Downtown and start to draw them further to Main Street, the Green Corridor/Urban Creek,Fanno Creek Public Area,and etc.,and to jumpstart development in the area. Planned intersection improvements at Hall Boulevard and Highway 99W will require public acquisition of some key properties,and may provide an opportunity to offset some of the costs of this project. This project would offer a number of benefits for the study area. It would create a strong entry statement for the district from Highway 99W and Hall. In addition,the project could be designed with linkages to the remainder of the study area, generating activity and adding 25 Downtown Improvement Plan City of Tigard,Oregon amenities that would be valuable to future development activity in the study area. An example of this would be linking the development with the upper portion or"genesis"of the Urban Creek and Green Corridor. As with the aforementioned Urban Creek,determining the design concept,form and"footprint"of the Hall Boulevard Downtown Gateway requires a detailed feasibility study to ascertain public preference,preliminary design criteria to guide future proposals to carry out the Gateway and associated development. Downtown Housing Development The Plan anticipates creating more housing of various types in several locations in Downtown. The intent is to bring more people into Downtown as residents. This will activate the Downtown throughout the day and into the evening. Housing development in the downtown will provide a number of benefits, including increased support for local services such as retail. In addition,residential development can provide a greater number of"eyes on the street", increasing the perception of security in the district. Residential development in the area is also supportive of transit,and can capitalize on the planned commuter rail line. The Plan identifies generalized locations for housing,favoring the concept of moderate to higher-density mixed use development,with housing availability for a wide range of income levels. Carrying out this catalyst project concept requires undertaking an initial housing policy study to identify housing needs,affordability and design guidelines,property consolidation needs,availability and applicability of funding and/or incentives,and etc. Ash Avenue Downtown Improvement This project provides for street and public space improvements to Ash Avenue between the planned Park and Ride and the Fanno Creek floodplain. Improvements will include a new bike and pedestrian bridge,an overlook area for Fanno Creek,an at-grade pedestrian crossing (with the desire for a vehicular at-grade crossing over the long term)and the extension of Ash from Burnham to the Park and Ride. The City has committed funds for design,right of way acquisition, and roadway improvements to Burnham. Improved linkages between the Fanno Creek open space and downtown Tigard have consistently been cited as desirable by the Downtown Task Force, and represent a key component of the plan. These improvements have positive impacts similar to those outlined in the streetscape enhancement program, with this project also directly targeting an important linkage between the floodplain/open space and the commuter rail Park and Ride. Fanno Creek Public Area The Plan envisioned the"Heart of Downtown" as one of the Great Ideas explored early in the process. This concept called for recognition and improvement of a central open space resource and gathering place adjacent to Fanno Creek, supporting a range of passive and active open space and public gathering uses. These could include such uses as: ➢ A home for the Tigard Farmer's Market ➢ A smaller, appropriately-scaled entertainment venue,perhaps a natural amphitheatre for public concerts and other events ➢ Picnics, weddings, and other gatherings The improvement of this area as a community amenity that acts as a gathering spot while respecting the natural environmental character and needs of the Fanno Creek area further advances the concept of a"green Downtown", respecting the valuable Fanno Creek resource. The Fanno Creek area has consistently been identified as a key 26 Downtown Improvement Plan City of Tigard,Oregon amenity in the district, with considerable emphasis in the Plan dedicated to increasing linkages to Fanno Creek from the remainder of the study area. Creating an attractive public area adjacent to the natural environment surrounding the creek will work towards further capitalizing on this amenity, for both the district as well as the City of Tigard. To further define the uses associated with this catalyst project, their location and scale, and potential need for property acquisition, it is recommended that a feasibility study of the improvement of the Fanno Creek Public Area be conducted in conjunction with the examination and programming study to be conducted for the Performing Arts/Recreation Center(see following section). Such a study should address the potential for an interim and then"final"home for the Tigard Farmer's Market. As with the Urban Creek, a temporary overlay zone or other method of ensuring review and coordination of potential development proposals that might have the ability to limit or preclude options for future uses pending completion of the study is being proposed. Performing Arts and Community Recreation Center Development of a Performing Arts and Community Recreation Center is seen as an opportunity to create a community gathering place for the arts and activities in the"Heart"of Downtown that links visually and physically with the Fanno Creek Public Area across Burnham Street. The purpose would be to bring day-round activity to the Downtown"Heart" through the recreation center,provide a space for the performing and visual arts, and provide a community gathering space while stimulating patronage of complimentary uses (e.g. restaurants, coffee shops, etc.). It is recommended that the City conduct an examination of the feasibility of the suggested Performing Arts and Community Recreation Center,and of the programming to be associated with them. It is further recommended that this study be coordinated with the aforementioned Fanno Creek Public Area use and feasibility study. The program development study will enable the city to determine the amount of funding needing to be raised for these improvements,and provide the basic information for a bond levy, should the city pursue one. Post Office Relocation The Plan calls for shifting the location of the Post Office from Main Street to the border between the"Heart"and the Civic District. The primary motivation for relocating the Post Office is that the current facility is not seen as being supportive of desired activity on Main Street. While the post office draws regionally and can generate a substantial level of traffic, this activity is not typically seen as linking with other desired commercial activities on Main Street. Shifting the facility to a location with better access and that is less disruptive to Main Street would encourage development patterns consistent with those outlined in the plan. The purpose would be to soften the transition between the"Heart"and the Civic District while freeing up valuable retail space along Main Street. The current Post Office location is owned by the USPS, and the agency would need to approve any suggested change of location. As such an undertaking is a lengthy process, it is recommended that discussions with the USPS be initiated in the near term. 27 Downtown Improvement Plan City of Tigard,Oregon 4.5 Other Implementing Projects and Actions In addition to the projects that have been identified as"catalyst projects",those seen as having the potential to help "jumpstart"development and redevelopment activities,there are a number of other projects and actions being recommended to help realize the public policy objectives of this Plan,and its vision. These recommendations fall under several categories: 1. Transportation System Improvements 2. Land Use Implementation 3. Funding Sources 4. Organizational/Follow-Up Actions The background behind these recommendations is provided within the Technical Memoranda contained within the Appendices to this document. A brief summary of these recommended projects and actions are described in the sections that follow. Transportation System Improvements Overall, the City's currently adopted Transportation System Plan (TSP) will accommodate the Preferred Design Alternative without any significant impacts to the regional or local transportation system in the study area. There are no modifications to the TSP recommended at this time as being needed to help carry out this Plan. As the TDIP is implemented, in addition to the continuous planning that will occur to achieve the community vision,the following specific projects should be considered. Near Term Actions: ➢ Plans and Policies. Continue implementing the plans,projects and policies identified within the adopted TSP. ➢ Achieve consensus on alternative Downtown Access Improvements. Extending Ash Avenue from Walnut to Downtown Tigard is included in the adopted TSP; however some stakeholders would prefer that the street not be constructed. The City will be undertaking an Ash Avenue corridor study to address the improvements identified in the Ash Avenue Improvements catalyst project discussed above. It is recommended that the City conduct an examination of potential alternatives for improving access to downtown. Detailed travel demand to, from and within Downtown and sub-area travel demand models should be developed to support this process. If the identified access improvements do not include an extension of Ash Avenue across Fanno Creek,it is recommended that the TSP be updated accordingly to remove it. ➢ Review City Pedestrian and Bicycle Plans. The City should review and modify current City pedestrian and bicycle planning efforts to ensure that these support simple and feasible access to, from and within downtown Tigard. ➢ Explore design requirements for "Green Street"street treatments. The TDIP calls for integrating Fanno Creek into downtown Tigard. As part of this effort, Tigard should explore developing design guidelines for green-street street treatments. Possibilities include integrating concepts into traffic calming treatments, intersection control,drainage, and parking areas. 28 Downtown Improvement Plan City of Tigard,Oregon ➢ Hall Boulevard and Highway 99W Cross-Sections. As the City of Tigard begins additional planning work related to Highway 99W and Hall Boulevard,it is suggested the City work with ODOT as early as possible to refine and define cross- sectional preferences and requirements for these streets. ➢ Street Design Guidelines. The City of Tigard should participate as needed with ODOT and Metro Staff to develop Highway Design Manual street design guidelines blending features of both ODOT and Metro Street design requirements. Longer Term Actions: ➢ Parking Management Plan. Develop and implement a parking management plan that ensures adequate short-term and long-term parking supply for residents, employees and patrons of Downtown. This plan is not necessary until Downtown begins to grow and parking utilization increases, but the study should be conducted prior to constructing any structured parking. ➢ Downtown Access. The results of the Ash Avenue evaluation and Downtown access study will guide short-term and long-term transportation actions within Downtown that should be implemented in the long term. ➢ At-grade Rail Crossing. It is desirable within Downtown Tigard, that a new at- grade crossing of the railroad tracks be developed along the Ash Avenue alignment. City of Tigard Staff should continue to work with Portland& Western Railroad and the ODOT Rail Division to identify options for achieving this crossing. Challenges exist, and significant local and regional planning efforts and engineering and constructions costs would be required to achieve consensus for a new at-grade crossing. Land use Implementation Overall the existing Community Development Plan and Comprehensive plan ordinances and policies do not present significant barriers to developing Downtown as conceived on in the Improvement Plan. Nonetheless, a review of these documents revealed that although few barriers exist, the ability of the existing regulatory framework to shape a growing Downtown as planned, more direct guidance is needed. The following sections summarize the findings of the Land Use Technical Memorandum recommendations. Programming considerations are further discussed in the Implementation Strategy section of this Plan. Comprehensive Plan To be consistent with the vision of the Improvement Plan,the City needs to make some relatively small adjustments to policy statements and implementation strategies within the Comprehensive Plan. The recommendations are focused on emphasizing the multi-functional character and vibrancy desired within Downtown and also allow for consideration of additional funding mechanisms. 29 Downtown Improvement Plan City of Tigard,Oregon Development Code Given the desired characteristics for an improved Downtown Tigard and the analysis of the current CBD zoning in the Community Development Code,it is recommended that four new Town Center base zones and two new Town Center overlay zones be created for Downtown. The recommended zones are designed to guide uses as they are organized in the Preferred Design Alternative. The City of Tigard already has several mixed-use zones that are specifically tailored to meet the needs of other areas in Tigard. While built upon these existing mixed-use zones,the recommended zones provide area-specific purpose statements and alterations to the development standards that tailor them to meet Downtown needs. Base Zones The following"base"zones are recommended in order to help achieve the public policy objectives and vision of the TDIP. ➢ TC-CBD: Town Center—Central Business District -Intended to retain the character of Main Street while guiding higher density development to the east of Main Street, this zone allows for mainly retail uses with some other uses considered conditional or limited. ➢ TC-MUC. Town Center—Mixed Use Commercial District—This zone is designed to meet the needs of the regional retail center area at the intersection of Hall Boulevard and Highway 99W. It is focused on medium-box retail establishments but allows for supporting smaller retail uses. ➢ TC-MUE: Town Center— Mixed Use Employment —Designed to provide for civic, office and professional employment needs, this zone will also allow for limited residential development, but is focused on office use. The purpose statement for this zone specifies that no residential uses should be allowed adjacent to the rail corridor. ➢ TC-MUR: Town Center — Mixed Use Residential — This zone has two levels of intensity TC-MUR(1) and TC-MUR(2) that provide for medium and medium to high residential density districts. It allows for supporting retail uses. Overlay Zones As discussed earlier,the following"overlay"zones are recommended in order to help achieve the public policy objectives and vision of the TDIP, and to ensure review and coordination of potential development proposals that might have the ability to limit or preclude options for future uses pending completion of recommended feasibility/refinement studies. ➢ Green Corridor/Urban Creek Overlay—As an interim step to achieving the Tigard vision for a Green Corridor/Urban Creek in Downtown,this overlay zone directs the City to review all development proposals through a conditional use process to allow for consideration of development siting in relationship to a potential future public space. ➢ Fanno Creek Open Space Overlay—The Improvement Plan and Vision for Downtown call special attention to the stewardship and enjoyment of Fanno Creek. A low-intensity,passive recreation area is planned between Burnham Street and the Fanno Creek 100-year floodplain, and this overlay zone is intended to restrict development uses only to passive recreation as an additional protective measure for this critical area. 30 Downtown Improvement Plan City of Tigard,Oregon In addition to the base zone and overlay zone recommendations,the Land Use Technical Memorandum suggests that the City's Special Development Standards should be evaluated further by the Land Use Advisory Group being established by the Downtown Task Force. Some specific areas recommended for attention include: ➢ Pervious paving treatments ➢ Vegetated stormwater treatment ➢ The expansion of options for joint parking facilities ➢ Sign standards for Downtown ➢ Visual clearance requirements The first two items noted above are not currently addressed within the Special Development Standards for the Central Business District. The latter three items should be examined and revised or augmented to reflect the vision and guiding principles contained within this Plan. Design Standards Tigard has previously developed design standards for the Tigard Triangle and Washington Square Regional Center. In addition, some design standards exist within the regulations of the CBD zoning designation. It is recommended that these existing standards be adapted and used as appropriate as a basis for developing design standards for Downtown Tigard, consistent with carrying out the vision and guiding principles of this Plan. Measure 37 The recent passage of Measure 37,requiring waivers of regulations or compensation to property owners if regulations have the effect of reducing a property's value,presents a challenge to every Oregon jurisdiction, as communities are still determining how to address it. Accordingly,the potential"Measure 37 impacts"of the Improvement Plan have yet to be addressed. It is recommended that this issue be addressed by the City in consultation with the state,Metro, and other local jurisdictions as soon as possible. Once Measure 37 issues are addressed, the Improvement Plan may need to be revisited if adjustments appear to be required. Regulatory Framework Timing The overlay zones, especially the Green Corridor/Urban Creek overlay zone,need to be in place as soon as possible to provide protection of the land to be used for the Fanno Creek Public Area and for the Urban Creek from future development actions that might compromise opportunity and/or location of the future improvement. Concurrent with the adoption of the overlay zones,the City will need to conduct a Measure 37 analysis of the recommended zoning for Downtown Tigard. Following these actions, adjustments to Comprehensive Plan should be refined and adopted to set the framework to guide the future refinement and adoption of the changes to the Community Development Code. Funding Sources Specific public-improvement projects can come about as a result of local, state and federal grants,private investment and donations,city general fund allocations and other sources of public financing. A variety of funding tools,options and policies were discussed in the process of preparing this Plan,and detailed information on these is provided in the appendices to this document. This section will provide a brief overview of urban renewal, the types of bonds typically used to finance urban renewal projects,and a brief list of other funding sources available to the City for Downtown improvements. 31 Downtown Improvement Plan City of Tigard,Oregon Urban Renewal By far the tool with the greatest ability to generate substantial revenue for targeted investments is the establishment of an urban renewal district. The projects outlined in this Plan will require a substantial public investment, and an urban renewal district is one of the few tools available that can generate adequate revenue to realize the Plan's vision. The basic idea behind urban renewal is simple: future tax revenues pay for revitalization efforts. Urban renewal funds can be used for a variety of investments, such as: ➢ Redevelopment projects; ➢ Economic development strategies, such as small-business loans or loan programs; ➢ Housing loans and other financial tools for ownership and rental housing; ➢ Streetscape improvements,including new lighting,trees, sidewalks,pedestrian amenities, etc.; ➢ Transportation enhancements,including light rail, streetcar,intersection improvements, etc.; ➢ Historic preservation projects; and ➢ Parks and open spaces. Urban renewal is a way to focus resources on a particular area,and to use public resources to stimulate and leverage much larger private investments. Local governments and urban renewal agencies have a variety of tools that can be used to finance urban renewal projects. The most commonly used tool with potential for use in Downtown Tigard is bonds. There are three general types of bonds that may be used to finance projects within an urban renewal district: ➢ General Obligation Bonds—General Obligation Bonds must be approved by voters and are backed by the power of the issuer to levy a property tax to pay debt service on the bonds. Cities and counties are authorized to request voter approval for General Obligation bonds; urban renewal agencies are not. Because these bonds are backed by the power of the issuer to levy taxes, General Obligation bonds generally command the lowest interest rates. An example of a General Obligation Bond is the Library Bond approved by voters to build the new Tigard Library. ➢ Revenue Bonds—Revenue Bonds are backed by the stream of revenue generated by a particular system or facility. Revenue bonds are generally considered less secure by bond markets because the promise to repay is based solely on the revenue- generating capacity of an identified facility or system. Interest rates are generally higher than those commanded by General Obligation bonds, and are very dependent upon the current and projected health of the revenue stream being offered as security. Jurisdictions that operate facilities or systems are authorized to issue Revenue Bonds without prior voter approval. Examples of revenue bonds include Water Revenue Bonds, Parking System bonds, and Recreation System bonds. ➢ Tax Increment Bonds—Tax Increment Bonds are a specialized form of Revenue Bonds. Debt service is paid by the revenue stream from the"increment"generated by the district from normal growth in the district's assessed values and new development. Bond markets generally look for some history of increment generation before they are willing to consider purchasing Tax Increment Bonds 32 Downtown Improvement Plan City of Tigard,Oregon Other Financing Tools As detailed in the Appendices to this Plan,the City of Tigard has a number of financing tools currently in place,or easily activated,to generate revenue to fund recommended development or infrastructure improvements. A summary list of these tools includes: ➢ Grants-A variety of state and federal agencies(as well as private sources, such as foundations)periodically issue grants which could be used for redevelopment purposes. ➢ Business Improvement(BID),Economic Improvement(EID), or Local Improvement Districts(LID) - State law allows the creation of a variety of local districts that could overlay an urban renewal district. These special assessment districts allow local property owners to come together to form a district and to create assessments on properties within that district to achieve certain defined goals. ➢ Tax Abatement- State law allows local jurisdictions to abate taxes for properties that meet certain requirements, which agree to engage in certain improvements,or which provide certain services. ➢ Hotel/Motel Tax or Specialized Taxes-A Hotel/Motel(Transient Lodgings) Tax is a specialized tax that is levied on hotel and motel room rentals. Recommendations As indicated above, Tigard has a number of financing tools currently in place, or easily activated to generate revenue. A list of these tools and the activities needing to be pursued to enable the City to generate the level of funding necessary to carry out the range of improvements recommended by this plan is provided below. Available Tools ➢ Tool: Land Assembly o Action: Pursue land assembly of identified key parcels. ➢ Tool: Tax Abatements o Action:Allow for property tax abatements for dense housing development,under the State's Vertical Housing Tax Credit Program (Note: Can impact tax increment revenues in an urban renewal district.) ➢ Tool: Grants (Metro, etc) o Action: Apply for Federal, State and Regional grants to help fund catalyst projects Recommended New Tools As mentioned earlier, there are additional, appropriate financing tools that are not currently in place, and will require public approval to establish: Urban Renewal Districts, Business Improvement Districts, Economic Improvement Districts or Local Improvement Districts. The activities needing to be pursued to enable the City to generate the level of funding necessary to carry out the range of improvements recommended by this plan is provided below. ➢ Tool: Urban Renewal District o Action: Prepare an Urban Renewal District Plan,and prepare campaign for City-wide vote 33 Downtown Improvement Plan City of Tigard,Oregon ➢ Tool: Business or Local Improvement District o Action: Explore establishment of committed funding sources to pay for identified improvements. It should be noted that implementing the recommended Downtown Improvement Plan is not reliant upon any one of the above funding sources being available. By way of example, it is clear that the use of urban renewal would provide the most significant source of funding for the development and redevelopment of Downtown Tigard; to create an urban renewal district requires voter approval, given the Tigard City Charter. Should the City pursue establishment of an urban renewal district and the action not be supported by the voters, the Plan would still be capable of being carried out. However, the length of time to generate other revenues to make the public investments needed to spur private investment would lengthen considerably. Organizational Follow-Up Actions Task Force Advisory Groups During Plan development,the Downtown Task Force formed three Working Groups to address projects,tools and techniques for carrying out the plan in three categories: Financing; Catalyst Projects; and"Brand Tigard"projects. It is recommended that the Task Force establish advisory groups to focus upon carrying out the catalyst projects,identifying and implementing the"Brand Tigard"projects,and fleshing out and adopting the proposed changes to the comprehensive plan and Community Development Code. Downtown Program Staff A number of the recommended actions for carrying out this Plan will require substantial support from staff. Tasks requiring such support include establishment and maintenance of an urban renewal district(once approved by Tigard voters),property owner outreach efforts, property assemblage,project development and administration,housing program development and maintenance, and update/maintenance of a short-term implementation strategy. 34 Downtown Improvement Plan City of Tigard,Oregon 5. IMPLEMENTATION ACTION PLAN 5.1 Introduction The Downtown Tigard Improvement Plan is an action-oriented plan, focusing upon the projects and actions needing to be undertaken to carry out a clearly defined vision,a set of guiding principles,and a development/design concept. The TDIP will be implemented in pieces,or components,over the course of the next several years. Some actions will be initiated in 2005,others will be initiated in the years to follow. 5.2 How Will The Plan Be Carried Out? As mentioned above,the TDIP will be implemented in pieces,over time. In the discussion regarding catalyst projects,it was noted that in most instances, each catalyst project is an idea or a program requiring a refinement study to pin down a concept,a location,a footprint or criteria for subsequent development proposals. Accordingly,in the short description of each catalyst project,the proposed preliminary"set-up"tasks or refinement study has been briefly described. In addition, several of the catalyst projects require the application of staffing resources to establish programs, criteria,and to undertake preliminary tasks to enable projects to move forward(e.g.,land assembly,property owner coordination, etc.). The Plan recommends a number of amendments to the City's Comprehensive Plan and Development Code(to provide greater recognition of Downtown,reflect objectives of the TDIP, etc.), as well as several new zones to carry out Plan intent and to achieve the planned uses, character and densities envisioned. In addition, two temporary overlay zones are recommended in order to protect "footprints" for projects that are still at the conceptual level,awaiting further refinement study. The suggested amendments to the City's Comprehensive Plan and Development Code will be further examined by Advisory Committees of the Downtown Task Force,and it is anticipated that appropriate changes and the necessary ordinances to codify them will occur over the next 1-3 years. It is anticipated that the City will begin talking with potential development interests regarding making the Plan a reality. Certain major improvements will be made by the City of Tigard through a variety of funding sources,including urban renewal,if approved by the voters. Other improvements will be the responsibility of proposers of specific development activities. One or more of the catalyst projects may come about as a result of a"public-private partnership",a contractual arrangement tailor-made for each situation by which the public sector authority assigns certain functions or responsibilities to a private developer. The important point is that the TDIP is a long-term plan for the revitalization and growth of Downtown Tigard over the course of the next 20-30 years,in alignment with a vision for the future established by the community. 5.3 Implementation Action Plan For a plan to be the"chart for change"it is intended to be, it must be accompanied by an implementation program...a program indicating the appropriate tools, actions and timelines for carrying out the plan. The Implementation Action Plan being recommended to carry out the TDIP focuses on the following: 35 Downtown Improvement Plan City of Tigard,Oregon • Recommended future transportation system improvements and any suggested changes to the City's Transportation System Plan; • Recommended changes to the City's Comprehensive Plan, zoning code and implementing ordinances; • Recommended development and community projects important for creating a climate of investment Downtown, • Recommended sources of funding for TDIP-related improvements,and • Suggested time frame for initiating key actions and projects. These areas of focus have been discussed in depth in four technical memoranda accompanying the Plan: a Future Transportation System Technical Memorandum; a Future Land Use and Regulatory Framework Technical Memorandum; a Funding Strategy Technical Memorandum, and an Implementation Action Plan Technical Memorandum. Each memorandum has recommendations for short and longer-term actions for carrying out the TDIP. As an effective Action Plan must be dynamic and open for change as funding, changes in project priority,refinement studies and changes in community desires dictate,the Implementation Action Plan is not contained within this overview Plan document. An updated TDIP Implementation Strategy will be maintained and kept up-to-date by City staff, and will be evolving as progress and change require. 5.4 Programming Recommendations The initial list of recommended actions,next steps and projects has been compiled in the TDIP's appendices (Implementation Action Plan Technical Memorandum). The recommended actions and projects have been categorized and prioritized with regard to relative timing (e.g., 1-3 years, 4-6, 6-10,beyond...). In addition, those short-term actions needing to occur in each of the next three years have been determined and coordinated with the City's Capital Improvements Program. It is recommended that the City of Tigard develop and maintain a short-term strategic action plan for incrementally implementing the TDIP's recommendations for improvements and actions. It is envisioned that this would be viewed as an "Incremental Implementation Strategy". 5.5 Short-Term Incremental Implementation Strategy The City of Tigard will be maintaining a short-term strategic action plan for incrementally carrying out the TDIP's recommendations for improvements and actions. This short-term action plan will be known as the "Incremental Implementation Strategy"...a three year, renewable/rolling, short-term action plan that would be regularly updated, with a regularly- scheduled monitoring and updating process and a supporting budget. By way of example,in developing this Incremental Implementation Strategy, each of the TDIP's Guiding Principles would be examined on a regular basis to ascertain the current status of progress in achieving them,and actions for moving ahead in each of the next three years would be identified and planned for. The activities for Year 1 would be tied to the City's annual operating budget. The activities identified for Year 2 and Year 3 would serve as a placeholder or indication of anticipated action-related resource needs for the coming two years. Once Year 1 is nearly complete, the status of activities would be reviewed, and the activities for Year 2 would be adjusted as necessary, as it will become the new Year 1. Year 36 Downtown Improvement Plan City of Tigard,Oregon 3 would be adjusted as appropriate in readiness for its becoming the new Year 2,and activities for a new Year 3 would be identified. The City would identify the coordinating body responsible for the monitoring,development and update of the Incremental Implementation Strategy,and for the coordination of the various City departmental activities to fund and/or carry out the strategy. City staff or the identified coordinating body would provide the City Council with a regularly scheduled status report on implementation activities. This regular monitoring,reporting and updating helps to keep the TDIP flexible and current, keeps all City departments focused on the carrying out of this important public policy objective, and keeps the TRIP and its implementation on the"front burner". In addition, it is recommended that the City review the TDIP on a regularly-scheduled basis, and make amendments as opportunity or changing community and economic circumstances necessitates. Should there be a desire to change the guiding principles or shift the emphasis of a particular project, this plan-update process provides the mechanism for doing so within the context of reviewing the plan as a whole. 5.6 Programming Concept and Conclusion Programming Concept A substantial number of actions,programs and projects are being recommended to carry out the TDIP. Not all of these can be done at once,and consideration needs to be given at the outset and during the regularly scheduled TDIP and Implementation Strategy update process to the grouping,phasing or timing of particular actions. It is recommended that the community program available/limited resources where they can do the most good,where they can leverage other resources or supporting activities or provide the"biggest bang for the buck",or where they can be concentrated to focus on a designated geographic target area. Conclusion In conclusion,the Tigard Downtown Improvement Plan represents the community's official framework for the revitalization of Downtown into a Downtown neighborhood,a vital"urban village",and one of the metropolitan area's Town Centers. As this plan represents the expression of the community's vision and desired outcomes for Downtown,the Plan must be a dynamic and responsive policy framework...one that changes as needed to keep pace of changing community values and external factors,and as opportunities arise. Over time,the TDIP is intended to continue to evolve, serving as the framework for further refinement according to the wishes of the community. 37 Downtown Improvement Plan City of Tigard,Oregon Appendices Introduction A. Existing Community Conditions B. Existing Economic Conditions C. Existing Transportation Conditions and Deficiencies D. Evolution of the Conceptual Design Plan Attachments E. Future Transportation System F. Future Land Use and Regulatory Framework G. Funding Strategy H. Community Involvement Attachments L Summary Memorandum on Economic Reports J. Implementation 38 TIGARD DOWNTOWN IMPROVEMENT PLAN Existing Conditions / Opportunities and Constraints Report Prepared for The City of Tigard October 2004 by Parametrix Kittelson & Associates, Inc. 2OF40 Introduction ................................................................................... 3 Overview of Previous Plans and Studies ...................................... 3 Oregon Downtown Development Association......................................................................... 3 TigardBeyond Tomorrow....................................................................................................... 4 2004 Downtown Tigard Survey............................................................................................... 5 Planning and Regulatory Context ................................................. 7 Statewide ............................................................................................................................... 7 Regional Planning Requirements ..........................................................................................10 TigardPlan and Ordinances..................................................................................................11 Existing Conditions...................................................................... 15 PlanArea Description............................................................................................................15 Transportation .......................................................................................................................19 NaturalEnvironment..............................................................................................................29 Opportunities and Constraints..................................................... 35 Land Use, Transportation and Natural Environment..............................................................35 Opportunities.........................................................................................................................37 Constraints............................................................................................................................39 Initial Concepts for Improvement...........................................................................................39 Summary..................................................................................... 40 Appendices Appendix A Existing Traffic Operations and Level-of-Service Appendix B ODOT STA and UBA Policies Appendix C Metro Street Design Guidelines Appendix D Tigard Street Design Guidelines Appendix E Tigard Railroad Analysis City of'Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 3OF40 INTRODUCTION This Existing Conditions / Opportunities and Constraints Report describes planning and transportation baseline information for the Tigard Downtown Improvement Plan (TDIP). The purpose of the report is threefold: ■ To summarize and briefly analyze the existing land use,natural environment and transportation system conditions and issues within the study area. ■ To summarize the planning and regulatory context of this project and to highlight those policy,planning and regulatory requirements that may have an impact upon the TDIP. ■ To briefly discuss which aspects of the information can be considered as opportunities or which as constraints toward achieving the objectives of this project. The City of Tigard's long-standing partnership with its citizens and commitment to creating a vibrant downtown is evident in the efforts begun in the early 1980s to empower citizen task forces. Although the appearance and function of the Downtown core has not changed during the past 20 years,it is not because of a lack of effort, study, and collaboration. The present planning process leading to the development of a specific action plan for Downtown improvement will not ignore the past work by the Tigard community; rather,it will build upon it. This report is based on preliminary review of data provided by the City of Tigard as well as from time spent with City staff during the August 26, 2004, walking tour. Some additional information was gathered based on Task Force Member input during the walking tour and meeting on September 2, 2004. OVERVIEW OF PREVIOUS PLANS AND STUDIES Oregon Downtown Development Association The 2000 Resource Team Report, written by the Oregon Downtown Development Association (ODDA) for the Tigard Central Business District Association, provides findings and recommendations for Downtown revitalization generated by ODDA's three-day intensive visit to Tigard. It expresses many opinions of local business owners, provides market analysis, and identifies possible improvement concepts that are primarily focused on Main Street. The following bullets are summary excerpts from the ODDA report: ➢ Strengthening Image and Sense of Place ■ Strengthen Downtown Tigard as the"heart"of the community through elements of design,mixed-use redevelopment, and integrating Tigard's Downtown image,history and culture. ■ Create and market the special character of Downtown Tigard as a `haven in the midst of miles of highway sprawl.' ■ Create an inviting and safe shopping environment by addressing the transient population use of the south end of Downtown and developing interesting storefronts. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 4OF40 ➢ Public Space ■ Enhance the gateways into Downtown using existing physical features and new development to invite visitors into Downtown. ■ Improve pedestrian crossings through better marking and surface texturing to interrupt and slow traffic. ■ Improve internal traffic circulation to create a more "workable"downtown. ■ Provide pedestrian amenities to make the area more inviting through upgraded street lighting,trash receptacles, and benches. ■ Extend the trail to the northwest under the OR 99W bridge to help alleviate the live-in transient problem. ➢ Private Space ■ Encourage appropriate, traditional uses that are consistent with the context of a traditional downtown. ■ Capitalize on the landmark railroad commuter station as a focal point and a new anchor for development. ■ "Tighten"the urban fabric and pedestrian friendliness through appropriately scaled in-fill development. ■ Create design guidelines for Downtown and enforce a sign ordinance. Tigard Beyond Tomorrow Another important effort within Tigard is the Tigard Beyond Tomorrow program. Beginning in 1996 residents, City staff, business owners and community leaders came together to define a vision for the entire City of Tigard on issues of public safety, urban and public services, schools and education, growth and growth management, transportation and traffic, and community character and quality of life. Members have continued to evaluate progress on each of the goals set in Tigard Beyond Tomorrow. Tigard Beyond Tomorrow contains six specific visions or "Direction Statements", one for each of the major subject areas, and a set of guiding statements that serve as the vision for the Tigard Beyond Tomorrow process. This overall vision is provided below: ➢ Tigard Beyond Tomorrow Vision ■ Tigard is a safe,dynamic community supported by coordinated and efficient public services. ■ Citizens are educated about how to access public services and understand their responsibility to participate as members of the community. ■ There are a variety of opportunities for citizens of all ages to access education programs for life-long learning. Our community recognizes and accepts the responsibility each citizen has in promoting and supporting quality education. ■ Small and local businesses thrive. Business owners are involved and take responsibility for the impacts their businesses have on the community. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 5OF40 ■ A community value "to respect open spaces and natural features"encourages access to these by our citizens. Many leisure time and recreational opportunities are available for our community. ■ All of these elements work together to promote and protect Tigard's individual identity and quality of life. Goals defined within the Community Character&Quality of Life section of Tigard Beyond Tomorrow that directly affect Downtown Tigard strive to achieve a future where "The Main Street area is seen as a `focal point' for the community," and "A clear direction has been established for a pedestrian-friendly downtown and is being implemented." Three strategies to reach the goal of providing opportunities to work closely with the Tigard Central Business District Association(TCBDA) were identified as follows: ■ Work proactively with TCBDA for long-term planning–The Transportation Growth Management funded program that this report is a part of is directly implementing this goal. Many Task Force members are also members of the TCBDA. ■ Monitor City's regulations for the Central Business District–The Task Force recommended design preferences for the TriMet Commuter Rail Station. City Council approved the recommendation in March 2003. ■ Develop strategies for public improvements in Tigard's central business district area(this area includes Main Street) and adjacent areas- Efforts have been made to obtain grant funding to install improvements such as public restrooms, special street lighting fixtures, sidewalks,etc. 2004 Downtown Tigard Survey In an effort to better understand the reasons people use Downtown Tigard and to inform the Downtown Improvement Planning process, Tigard Downtown Task Force ("Task Force") conducted a 10-question community survey in Spring and early Summer 2004. The Task Force visited local community groups, city committees, local events such as the Balloon Festival and the Farmers' Market, and met with local business owners. At these events, the Task Force provided an overview of the process and asked people to fill out the survey. The survey was self-selected. The results as tabulated in September 2004 provide a snapshot of how the 588 survey respondents, 61 percent of whom live in Tigard, view the existing Downtown,why they go there—if they do—and what they think about it. Table 1 summarizes the results of the survey's multiple-choice questions. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 6OF40 Table 1-2004 Downtown Tigard Survey Results 1.How often do you visit Tigard's Downtown? 6.There is plenty of parking Downtown. Daily 19.28% Strongly Agree 2.45% Weekly 41.64% Agree 28.02% Monthly 20.65% Neutral 29.95% Few times a year 16.72% Disagree 30.82% Never 1.71% Strongly Disagree 8.76% Total 100.00% 2.Why do you visit Downtown? (Check all that 7.Downtown Tigard is an excellent place to do apply) business. Shop 28.65% Strongly Agree 4.41% Work here 5.37% Agree 27.34% Eat 23.00% Neutral 38.27% Personal services 13.85% Disagree 21.52% Live Downtown 0.66% Strongly Disagree 8.47% Ride bus 3.58% Business-related 13.85% Other 11.03% 3.Which of the following describe you?(Check 8.The look and feel of Downtown should not all that apply) change. Tigard Resident 60.67% Strongly Agree 5.81% Non-Tigard Resident 25.72% Agree 12.50% Tigard Business Owner 9.08% Neutral 19.37% Downtown Tigard Business Owner 2.87% 1 Disagree 31.16% Downtown Tigard Property Owner 1.66% Strongly Disagree 31.16% 4.Which of the following methods of 9.I feel safe Downtown. transportation do you use Downtown?(Check all that apply) Car 69.54% Strongly Agree 23.09% Bus 7.49% Agree 45.49% Bike 6.47% Neutral 22.92% Walk 16.50% 1 Disagree 6.60% Strongly Disagree 1.91% 5.The existing Downtown business mix is 10.The planned Commuter Rail will provide excellent. passenger rail service between Wilsonville to Beaverton,with a station in Downtown Tigard. Would you use the station? Strongly Agree 2.45% Yes 51.10% Agree 22.03% No 23.60% Neutral 36.59% Don't Know 24.30% Disagree 26.40% Strongly Disagree 12.24% City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 7OF40 It is apparent from the survey results that the majority of the respondents visit the Downtown weekly or monthly, and nearly five out of ten respondents visit Downtown daily. The most common reason to visit Downtown is to shop, followed closely by eating. Personal services and business-related visits come next. Approximately 70 percent of respondents use their cars Downtown while approximately 17 percent walk. However, 52 percent indicated they would use the proposed TriMet Commuter Rail station. With regard to questions about how the respondent feels about Downtown's character and quality, the results were more mixed. Just under half of respondents agree that they feel safe Downtown. In general, 38 percent of respondents disagreed to some extent with the statement that the existing Downtown business mix is excellent. Approximately 31 percent agreed to some extent that Downtown Tigard is an excellent place to do business. When asked to evaluate the statement "The look of Downtown should not change," approximately 62 percent of respondents disagreed. This result is interesting when contrasted with a qualitative evaluation of the results submitted to the open answer question, "What three things do you like best about Downtown?" Many respondents stated that they like the small town feel, old buildings, and small businesses present in Downtown. So, although they think it needs to change, some of what they appreciate about it are the way it feels and looks. These were just a few of the many and varied responses. The following question, "What improvement, if any, would you suggest for Downtown?" drew even more varied responses too numerous to categorize here. The responses range from `no changes necessary' to suggestions to demolish the entire Downtown and start over. Most responses offer useful advice and provide insight into how the users of Downtown would like to see the area change. The survey next asks what specific types of businesses the City should seek to attract. Although again, the answers vary widely, a main theme of restaurants, bakeries, cafes, and small, privately owned specialty-retail shops is evident throughout the responses. Downtown Parking Study City of Tigard staff and the members of the Downtown Task Force conducted a parking supply and demand survey on a typical Tuesday and Thursday during the summer of 2003. Although a number of factors have changed since the parking survey was conducted (e.g. Tigard Fitness is operational again), the City staff believes that the general survey results are still valid. The survey was conducted on both sides of Burnham, Commercial, and Main Streets. The purpose of the survey was to identify the type and location of parking and the demand for parking in Downtown Tigard. Results of the study are discussed under Transportation in the Existing Conditions section of this report. PLANNING AND REGULATORY CONTEXT Federal, state, and local plans and regulations have an impact upon the development of a town center and downtown improvement plan for Tigard. In addition to these, the Task Force approved a set of Guiding Principles for this plan, principles intended to serve as a guide and a measure of success for what the plan is to achieve. This section of the report will discuss these tiered levels of regulatory structure and how they affect the development of a downtown improvement plan for Tigard. Statewide Oregon Statewide Planning Goals The state of Oregon's 19 Statewide Planning Goals were established in 1973 and are administered through the Oregon Department of Land Conservation and Development, by the Land Conservation and Development Commission (LCDC). The goals convey the state's policies on land use and on related City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 8OF40 topics, such as citizen involvement, natural resources, and housing. By state law, each city and county must adopt a comprehensive plan that is consistent with the statewide planning goals and must adopt a zoning and land-division ordinance to implement the comprehensive plan. The City of Tigard's Comprehensive Plan has been reviewed and acknowledge by the LCDC as consistent with the Statewide Planning Goals. Any proposed changes to the Tigard Comprehensive Plan and zoning ordinances must be compliant with the Statewide Planning Goals. Transportation Planning Rule The Transportation Planning Rule (TPR) directs cities and counties to develop balanced transportation systems addressing all modes of travel including motor vehicles, transit, bicycles and pedestrians. The TPR envisions development of local plans that will promote changes in land use patterns and transportation systems that make it more convenient for people to walk, bicycle, use transit, and drive less to meet their daily needs. The TPR also directs cities and counties to plan changes in transportation facilities in tandem with land use and development patterns. Oregon transportation Plan The Oregon Transportation Plan (OTP), adopted in 1992, is the state's 20-year multimodal plan for the statewide transportation system. The plan includes policies for bicycle and pedestrian facilities, public transportation, highways, waterways, airports and railroads. It considers private and public facilities and the local, regional and state elements of the system. The OTP is the guiding document for the state modal plans and local transportation system plans. It also establishes investment scenarios. The OTP emphasizes: • Achieving a safe, balanced and efficient multimodal system • Fostering economic development in a safe, energy efficient and environmentally sound manner • Supporting livability • Providing a stable but flexible finance system while working cooperatively with others. Oregon Highway Plan The 1999 Oregon Highway Plan includes a series of policies and actions related to integrating land use and transportation. Policy 1B recognizes that state highways serve as the main streets of many communities. The policy strives to maintain a balance between serving these main streets and the through traveler. It emphasizes management of the transportation system for safety and efficient use of resources. This policy provides guidance to Oregon Department of Transportation (ODOT) regarding system management planning and implementation activities. It is designed to clarify how ODOT will work with local governments and others to link land use and transportation plans, facility and corridor plans, plan amendments, access permitting and project development. The role of ODOT and local governments in designating highway segments is to work together so that planned community development patterns are individually tailored yet also meet statewide highway needs for safety and mobility. This policy provides different roadway designations as tools for fostering compact development patterns in communities: • Special Transportation Area (STA) - An STA is a designated district of compact development located on a state highway within an urban growth boundary in which the need for appropriate local access outweighs the considerations of highway mobility except on designated Freight Highways where through highway mobility has greater importance. While traffic moves through an STA and automobiles may play an important role in accessing an STA, convenience of movement within an STA is focused upon pedestrian, bicycle and transit modes. STAs look like traditional "Main Streets" and are generally located on both sides of a state highway. The primary objective of an STA is to provide access to and circulation amongst community activities, City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 9OF40 businesses and residences and to accommodate pedestrian, bicycle and transit movement along and across the highway. Direct street connections and shared on-street parking are encouraged and individual driveways are discouraged. Local auto, pedestrian, bicycle and transit movements to the area are generally as important as the through movement of traffic. Traffic speeds are slow, generally 25 miles per hour or less. • Urban Business Area (UBA)—A UBA is a highway segment designation which may vary in size and which recognizes existing areas of commercial activity or future nodes or various types of centers of commercial activity within urban growth boundaries on District, Regional or Statewide Highways where vehicular accessibility are important to continued economic viability. The dual objectives of a UBA on the state highway are to provide local access to meet the access needs of abutting properties and to maintain existing speeds to move through traffic. Speeds are generally 35 miles per hour or less. Vehicular accessibility and circulation is often as important as pedestrian, bicycle and transit accessibility. Safe and regular street connections are encouraged. Transit turnouts, sidewalks and bicycle lanes are accommodated. Further details related to STAs and UBAs are included in Appendix B. To designate a roadway segment as an STA, the community needs to adopt local plans identifying the road as such, and most importantly coordinate and develop an agreement with ODOT about the STA designation. The principal advantage of an STA is that ODOT and the local jurisdiction must work together to agree to a plan for multi-modal transportation mobility and access integrated with the surrounding land use plan on the state owned highway through a major community center. Through the project study area, Oregon 99W does not exhibit the characteristics of a STA or UBA and is likely not a candidate for either designation. Hall Boulevard through the project study area may qualify as a candidate for a STA. It is less likely that this segment qualifies as a UBA. In both cases it will be important to begin the conversation with ODOT regarding these designations. If established as an STA, the City of Tigard and ODOT would have an established plan for future roadway cross-sections and adjacent land use. The mix of acceptable roadway elements in an STA allows Tigard to plan for a narrow roadway section (e.g. lanes and medians), slower travel speeds, and wider sidewalks. ODOT Rail Policies The Oregon Department of Transportation Rail Division represents and advocates for customers of railroads, both passenger and freight, to ensure a safe, efficient and reliable rail transportation system. A critical overlap point between the rail transportation system and the pedestrian, bicycle and vehicle transportation system is rail crossings. ODOT rail and the operating railroad authorize crossings of the tracks. For obvious reasons, these crossings must be equally safe for all modes of transportation. When considering a crossing, ODOT Rail will consider many factors including safe stopping distance, the need to provide clear zones/separation from the rail lines and crossings, and perhaps the greatest challenge, no net gain in at-grade crossings. Therefore to obtain an Order authorizing a new street to cross railroad tracks, jurisdictions need to work collaboratively with the railroad and ODOT Rail; this can include closing at least one other crossing in the jurisdiction. See Appendix E for details on the facilities and history of Rail in downtown Tigard. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 10 OF 40 Regional Planning Requirements Metro's 2040 Growth Concept and Framework Plan Although the Tigard community has focused on the growth and development of Downtown Tigard for years independently, as a designated Town Center in Metro's 2040 Growth Concept Plan, Tigard is obligated to create a land use and transportation plan consistent with Metro guidelines for Town Centers. The Metro 2040 Growth Concept defines regional growth and development in the Portland metropolitan region. The growth concept was adopted in the Region 2040 planning and public involvement process in December 1995. Metro's 2040 Growth Concept Plan provides guidance with respect to how Town Centers should function. The 2040 Growth Concept identifies centers as compact, mixed-use neighborhoods of high-density housing, employment and retail that are pedestrian-oriented and well served by public transportation and roads. Metro's projected density for Downtown Town Centers in the 2040 Growth Concept is 40 average persons per acre. Town Centers are described as the central focus of community life and should serve residents living within two or three miles. Some key objectives for developing Metro designated 2040 Centers include: ■ Promoting more intensive mixed-use development. ■ Providing infrastructure to support more intensive development. ■ Creating effective local and regional transportation connections to and within the center for all travel modes. ■ Providing public spaces and distinct center identification. ■ Recognizing the natural environment as a desired amenity. Specific guidance provided in the 2040 Growth Concept for land use within Centers includes: ■ Permitting multiple uses on one property. ■ Discouraging and limiting parking within the Center. ■ Limiting the number of auto-dependent uses. ■ Prohibiting storage as a primary use. ■ Providing bicycle parking at major destinations. ■ Minimizing impervious paved areas for new streets and parking areas. Metro's Title 6—Requirements for Town Center Planning Metro's Urban Growth Management Functional Plan (Functional Plan), which is included in Metro's Code as Chapter 3.07, implements Metro's 2040 Growth Concept Plan. Title 6 of the Functional Plan affects areas designated as Central City, Regional Centers, Town Centers and Station Communities, and is intended to enhance these centers by encouraging development that will improve the critical roles centers play throughout the region and discouraging development that will detract from the function of the centers. Town Centers are smaller than regional centers (e.g., Washington Square), and are characterized by local shopping and employment opportunities within a local market area. They are connected to regional centers by roads and transit. Each city with a Center needs to have an enhancement strategy by Dec. 31, 2007, per Title 6/3.07.610 of the Functional Plan. The following elements are required for a strategy to be accepted: City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 11 OF 40 1. An analysis of physical and regulatory barriers to development and a program of actions to eliminate or reduce them. 2. An accelerated review process for preferred types of development. 3. An analysis of incentives to encourage development and a program to adopt incentives that are available and appropriate for each Center. 4. A schedule for implementation of Title 4 of the Urban Growth Management Functional Plan. 5. An analysis of the need to identify one or more Neighborhood Centers within or in close proximity to Inner and Outer Neighborhoods to serve as a convenient location of neighborhood commercial services, as authorized by Title 12, Section 3.07.1230 of the Urban Growth Management Functional Plan. 6. A work plan,including a schedule,to carry out the strategy. Title 6 allows cities that have adopted a strategy in compliance with Section 3.07.620 for a Town Center or other type of center to be eligible for designation of state highways within that center as a Special Transportation Area under Policy 1B of the 1999 Oregon Highway Plan. Title 6 further provides that cities should strive to locate government offices within a designated center and to the extent possible, should prevent the location of government offices outside of the center. The City of Tigard's City Hall and other administrative offices are presently located within the Downtown Tigard area, near the intersection of the Fanno Creek and Hall Boulevard. The public library is just outside the plan area and is very close to City Hall. The Tigard Downtown Improvement Plan will fulfill the Title 6 requirement for the Tigard Town Center with improvement strategies and a specific implementation program. Tigard Plan and Ordinances Comprehensive Plan The City of Tigard Comprehensive Plan was built by aggregating seven separate Neighborhood Planning Organizations' plans that comprised the communities' planning efforts into one "Community Wide Comprehensive Plan" for the City of Tigard. The plan was adopted in 1983 and has had numerous revisions. The City must regularly update the plan through the state requirement of periodic review, which does not require the City to update its plan until 2010-2015. The City also must address performance measures set by Metro. The Comprehensive Plan outlines goals and policies for nine planning areas as follows: 1) Citizen Involvement, 2)Natural Features and Open Space, 3)Air, Water and Land Resources Quality, 4)Economy, 5)Housing, 6)Public Facilities and Services, 7)Transportation, 8)Energy, and 9)Urbanization. These goals and polices guide Tigard's future growth and development and are vital to a successful downtown improvement process. Plans resulting from the present planning effort must be in compliance with existing Comprehensive Plan policies and implementation strategies. If the outcomes of the Downtown Improvement planning process show that existing policies conflict with the community vision, adjustments to the Comprehensive Plan will be needed. This report focuses on those statements within the Comprehensive Plan that directly concern Downtown Tigard,referred to in the Comprehensive Plan as the Central Business District (CBD). In the plan, the policy statements provide directives to the City for making decisions and preparing plans. The implementation strategies are recommendations and City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 12 OF 40 propose implementation methods. The CBD policies have not been revised since 1983. The applicable policies and implementation strategies are included below: ECONOMY SECTION—VOL.II,POLICY 5-1 Policies 5.3 THE CITY SHALL IMPROVE AND ENHANCE THE PORTIONS OF THE CENTRAL BUSINESS DISTRICT AS THE FOCAL POINT FOR COMMERCIAL, HIGH DENSITY RESIDENTIAL,BUSINESS, CIVIC AND PROFESSIONAL ACTIVITY CREATING A DIVERSIFIED AND ECONOMICALLY VIABLE CORE AREA. 5.4 CITY SHALL PROHIBIT RESIDENTIAL DEVELOPMENT IN COMMERCIAL AND INDUSTRIAL ZONING DISTRICTS EXCEPT: COMPLIMENTARY RESIDENTIAL DEVELOPMENT SHALL BE PERMITTED ABOVE THE FIRST FLOOR IN THE CENTRAL BUSINESS DISTRICT, AND ABOVE THE SECOND FLOOR IN COMMERCIAL PROFESSIONAL DISTRICTS. (THE DENSITY OF RESIDENTIAL DEVELOPMENT SHALL BE DETERMINED IN ACCORDANCE WITH THE R-40 DISTRICTS.) Implementation Strategies 8. The City shall target efforts to strategic areas for growth and diversification. Specific areas include the Central Business District,the Tigard Triangle, and the 74th Avenue Industrial area. 9. The City shall concentrate resources for the revitalization of the Central Business District utilizing Local Improvement Districts and a program to encourage private investment. 10. The City shall encourage new development by allowing more flexible zoning standards within the CBD than are allowed citywide. SPECIAL AREAS OF CONCERN—VOL.11,POLICY 11-1 SPECIAL AREAS OF CONCERN The purpose of this chapter is to address those areas within each Neighborhood Planning Organization that are of special concern to each particular area. This chapter is divided by Neighborhood Planning Organization.The subsequent policies address a broad range of issues and relate directly to the main Citywide policies in Chapters 1-10. The larger,bold number adjacent to each policy refers to the Citywide policy of Chapters 1-10. 11.1 Neighborhood Planning Organization#1 A. Central Business District Policies 11.1.1 THE REDEVELOPMENT OF DOWNTOWN TIGARD SHALL BE ACCOMPLISHED IN ORDER TO MAKE IT COMPLEMENTARY TO NEWER SHOPPING AREAS. CONVENIENCE,APPEARANCE AND THE NEEDS OF THE SHOPPING PUBLIC SHOULD BE PRIMARY CONSIDERATIONS. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 13 OF 40 Implementation Strategies 1. The City shall emphasize the revitalization of the Central Business District within the economic development program. The CBD is a special area of concern for economic development activity. 2. The City shall coordinate and cooperate with the private sector to promote their participation in the revitalization of the Central Business District. Currently,there are only three policies in the Comprehensive Plan that directly pertain to the CBD. These policies provide general guidance that the CBD should be developed into a focal point for the city and should move toward the high-density residential and mixed uses in Town Centers. In Policy 11.1.1, the phrase"complementary to newer shopping areas"is a matter of interpretation. At the time, it may have referred to the newer strip-mall type development in the CBD. The phrase "complementary" is instructive, as the whole CBD is not considered a focus. It may also refer to other shopping choices in the area. Policy 11.1.1 also emphasizes shopping, as opposed to other uses such as residential or office. The use of the term redevelopment reflects a 1980s mindset. Today, there is recognition that some properties will need different approaches — redevelopment, revitalization or no changes at all. Lastly,note what is absent: There are no references to Downtown's historic appearance. Notably,both sections refer specifically to economic development programs. The City has neither an economic development department nor a program. A Business Improvement District(BID) was proposed in 2001,but did not pass. Tigard Transportation System Plan The Tigard Transportation System Plan (TSP) establishes the city's goals, policies and action strategies for developing the transportation system for the Tigard urban area. The TSP is intended to serve as a blueprint or master plan to guide transportation decisions to address both short and long term needs. The TSP discusses on-going roadway maintenance needs, and identifies improvements to enhance roadway safety, non-motorized travel (bicycles and pedestrians) and public transit service, and to accommodate future land development activity. The Tigard Transportation System Plan addresses Oregon Statewide Planning Goal 12 and the Oregon Transportation Planning Rule (TPR). Completed in January 2002, the TSP was reviewed by state and regional agencies and found to be in compliance with the TPR. A listing of those TSP policies having potential pertinence to the Tigard Downtown Improvement Plan is provided below. A listing of those TSP policies having potential pertinence to the Tigard Downtown Improvement Plan is provided below. • Goal I — Livability: Plan, design and construct transportation facilities in a manner which enhances livability in Tigard • Goal 2 — Balanced Transportation System: Provide a balanced transportation syststem incorporating all modes of transportation • Goal 3 — Safety: Strive to achieve a safe transportation system by developing street standards, access management policies and speed controls when constructing streets, by making street maintenance a priority and through a comprehensive program of engineering, education and enforcement City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 14 OF 40 • Goals 4—Performance: Transportation performance measures shall be set and maintained by the City. • Goal 5—Accessibility: Develop Transportation facilities which are accessible to all members of the community and minimize out of direction travel • Goal 6—Goods Movement: Provide for efficient movement of goods and services • Goal 7—Coordination: Implement the TSP in a coordinated manner These goals, and the recommended policies supporting these goals will be taken into consideration as the Tigard Downtown Improvement Plan is developed. Municipal Code Chapter 18.520 Commercial Zoning Districts of the Tigard Municipal Code Title 18 defines allowed uses and development standards within the CBD zone. The entire Downtown is within Title 18 of the Tigard Development Code as: "The CBD zoning district is designed to provide a concentrated central business district, centered on the City's historic downtown, including a mix of civic, retail and office uses. Single-family attached housing, at a maximum density of 12 units/net acre, equivalent of the R-12 zoning district, and multi-family housing at a minimum density of 32 units/acre, equivalent to the R-40 zoning district, are permitted outright. A wide range of uses, including but not limited to adult entertainment, utilities, facilities with drive-up windows, medical centers, major event entertainment and gasoline stations, are permitted conditionally." The following summary of applicable standards was provided by the City of Tigard: Summary of Allowed Residential Uses for CBD: Household Living: Single-family attached and multi-family residential units developed at R-40 standards, except the CBD area bounded by Fanno Creek,Hall Boulevard, O'Mara,Ash Avenue and Hill Street. This area is designated R-12 PD and shall be developed as planned developments in conformance with R-12 district standards. Group Living: Permitted Transitional Housing: Conditional Use Home Occupation: Restricted: permitted subject to requirements Chapter 18.742 Summary of Commercial Development Standards for CBD: ■ No minimum lot size ■ No minimum lot width ■ Minimum Setbacks: There are no setback requirements, except a 30-foot is required where a commercial use within a district abuts a residential zoning district. ■ No minimum building height ■ Maximum building height is 80 ft(except that the maximum height of any building in the CBD zone within 100 ft of any residential zoning district shall not exceed 40 feet.) Table 18.520.1 lists the allowed outright, conditional, and prohibited uses for the CBD today. Several types of uses presently found within the Downtown area are identified as prohibited uses in Table 18.520.1, including light and general industrial, warehouse freight movement, and industrial. Auto service uses, except for auto cleaning is also a prohibited use. These nonconforming uses are allowed to continue until they are torn down; expansion or redevelopment of non-conforming uses is prohibited. In either of these situations,the development would be required to meet the current code. Section 18-520-16 City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 15 OF 40 allows existing nonconforming industrial structures at the following locations to continue as I-P Industrial Uses (allows a change in ownership and I-P). This code section applies to the following tax lots: 2S 12AA04700,2S 12AC00100,2S 12AC00202,2S 12AD01203,2S 12DB00100, and 2S 12DA00300. Minimum residential density is 32 units/acre. Buildings are limited to 80 feet in height, or 40 feet when within 100 feet of residential areas. Mixed-use developments could be allowed; however, there are no specific regulations that guide this type of development within the CBD. Other regulations specific to Mixed-use are contained in other sections of the code. Currently, the CBD regulations within Section 18.520 are categorized as "interim" until a full plan and corresponding code can be adopted. The interim regulations do not address guidelines for building materials or finish. The current regulations do include pedestrian connection requirements, transit accommodations, and a minimum of 15 percent landscaping per site (allowing 85 percent site coverage). According to the City's recent experience, these regulations have not been applicable to development applications received by the City. EXISTING CONDITIONS Plan Area Description Located approximately seven miles southwest of downtown Portland, Tigard's approximately 146-acre Downtown core ("Plan Area") is bound by two state highways. Oregon Highway 99 West (OR 99W) defines the northwest boundary and Hall Boulevard (Beaverton -Tualatin Highway) defines the eastern boundary. The Southern Pacific and Burlington Northern rail lines bisect the Plan Area. The existing Fanno Creek Trail forms the southern boundary and also connects the Plan Area with the Regional Trails System and the residential areas to the south of the Downtown core. From the intersection of Hall Boulevard and OR 99W, the elevation slopes gradually down through the Downtown until reaching the Fanno Creek floodplain. Continuing south past Fanno Creek, the elevation gradually rises again. Given this topographical setting, the Downtown Tigard core rests in a small, shallow valley and is considerably lower than OR 99W, which displays very little grade change from the north to south ends of the Plan Area (see Figure 1 Existing Conditions). Figure 1 Existing Conditions, is a compilation of Geographic Information System (GIS) data provided by the City of Tigard. GIS "layers" describe a complete picture of technical information pertaining to the study area. The GIS layers used to create the Existing Conditions Map include the following: ■ Central business district Lots -taxlot shapefile containing lot size, and year built ■ Central business district Buildings -building footprint shapefile created by City Engineering ■ Comprehensive Plan designations in coverage format ■ Map directory of PDF's concerning the Downtown area ■ City streets layer coverage,contains Transportation System Plan designations ■ Vacant land analysis in shapefile format ■ Title 3 -METRO's Title 3 environmental data ■ Zoning City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 C � i �B s �. 17 OF 40 Land Use The existing uses in the Plan Area include retail, office, residential, auto-dependent businesses, and large- lot light industrial businesses as well as public park and civic service, and transit uses (see Figure 2 Land Use). Industrial uses are prominent to the southeast of the Plan Area. Retail commercial uses are concentrated to the northwest along OR 99W, and residential districts surround the Downtown core to the southeast and northwest. Based on a September 2003 Downtown land use and building inventory survey conducted by the City of Tigard, approximately 38 percent of land in the Plan Area is occupied by commercial uses, including office and retail as shown in the figure below. Industrial uses comprise approximately 14 percent of the land area, and government uses,including City services, transit services, and the US Post Office occupy approximately 18 percent of the land the Plan Area. The next largest use by land area is public parks, which occupy 16 percent of the land. Multi-family land use occupies approximately eight percent of the land area, and less than two percent each is classified as vacant land, single family, single family attached, or institutional. Land Use by Acreage E1% ❑ 1% ❑Commercial ■2% E]Government M 16% ❑Industrial ❑gg% ❑Institutional 08% ■Multi-Family ❑2% Park ❑Single-Fam ily ❑ 14% ❑Single-Family Attached 018% ■Vacant Lot sizes within the Plan Area vary widely. The average lot size is just under one acre, while the maximum lot size is approximately 15 acres. The more compact lots are found along Main Street and on the south side of the Southern Pacific and Burlington Northern rail lines. Larger lots are concentrated along Fanno Creek and the southern half of Hall Boulevard. As mentioned in the Municipal Code section above, some existing land uses are not allowed under current zoning, and based on Metro's guidance,these uses are not desired for development and enhancement of Town Centers. Figure 2 shows that industrial and institutional uses are scattered throughout the eastern two-thirds of the Plan Area. Section 18.520-16 of the Tigard Municipal Code allows existing nonconforming industrial structures at some locations Downtown'. The auto repair facilities that are also non-conforming uses are included in the Commercial land use type on Figure 2 and are located on Main Street and in other locations within the Plan Area. 'The following tax lot locations are allowed to continue as I-P Industrial Uses(allows a change in ownership and I- P):2S 12AA04700,2S 12AC00100,2S 12AC00202,2S 12AD01203,2S 12DB00100,and 2S 12DA00300. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 6 MOMMIRMONOWN or I ME Legend ON.o River Single Family Commercial Industrial Services(roofing,etc)m Research and Development Park ff] Building Footprints Single Family Attached(duplex) Commercial/industrial Manufacturing/Production Wholesale sales Vacant Parcels Multi-Family Commercial/institutional Warehouse/freight movement Institutional Government 19 OF 40 Transportation Pedestrian Transportation Facilities Sidewalks and the Fanno Creek Pathway form the backbone of the pedestrian system in Downtown Tigard. There are sidewalks on both sides of Main Street, Tigard Street and Commercial Street south of Main Street2. On Burnham Street, Scoffins Street and Ash Street, there are sidewalks where recent development has occurred; otherwise properties do not have sidewalks along their frontage. The lack of a continuous sidewalk network throughout the entire Downtown area limits the extent to which the area is viewed as a single district and creates obstacles to users of the Downtown. Opportunities for pedestrian- only connections at places where right-of-way or easements exist should be explored. Pedestrian facilities on Main Street also include a curb extension at the southwest corner of Main and Burnham Streets and a mid-block pedestrian crossing near Tigard Cycle & Ski. This pedestrian crossing has in-pavement lighting to provide enhanced safety. The crossing does not align continuously with the existing Fanno Creek Parkway. Attractions There is a desire to address the pedestrian facility crossing under Oregon 99 W at the Fanno Creek Pathway and eventually to extend the trail further to the north. This is a potential pedestrian gateway into Downtown Tigard, but pedestrians comment that the current configuration feels unsafe and is unattractive. In addition,there is no current signage directing pedestrians to use the pathway. Pedestrian connectivity issues also exist between the new library and City Hall and the Downtown area. The new library is located on the east side of Hall Boulevard in the vicinity of SW O'Mara Street. This issue will be a particular consideration in the future classification and design of Hall Boulevard through the project study area. Figure 3 shows current pedestrian facilities and opportunities and constraints. Bicycle Transportation Facilities Figure 4 shows existing and planned bicycle facilities in the Tigard Downtown Improvement Area, and the functional classification of existing and planned streets in the area. According to the City's street design guidelines, all arterial and collector streets should include six foot striped bicycle lanes. The Fanno Creek pathway is a facility for bicycle travel to and through the project study areas. Participants on the field walk conducted in August 2004 indicated that families do bicycle on the Fanno Creek Pathway. There are no striped bicycle lanes currently in the core of Downtown Tigard3. Along the boundaries of Downtown Tigard, Oregon 99W does not have bicycle lanes. Alternately signed and striped bicycle lanes do exist on SW Hall Boulevard, but the environment is not especially attractive for cyclists. As planning evolves for the project, attention should be given to providing safe bicycle connections to, from and within the study area as well as along and across Hall Boulevard and across Oregon 99W. 2 DKS Associates,Tigard Commercial Rail Traffic Study,February 2003 'MID City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 Tigard Downtown Improvement Plan 0ctober2004 14 -PFAFFLE m MM qVTA w p4 2L J 9 iv.Ry ♦� - t11. Y T wr b n" slAIIrNACIRAA * LONDON _ ' O sal,, ^mss ' 'z- .b � ' �41 pi C ` F J✓ i t C'O00 1� `lPSI � F 4 17 �,,.4 �! _ .,x� ,�, � � m; I ' +` ��a.,�«t I �:4 �,'�,�,-• 'Fpa iii•_ wP23► lee :O'MARA It r y�n. -�,` EGNAr.--- \4� o ' -40 EDGEWOOD 10 ��'�.�.�Mti� }+_ • -;' r�' � 1�-��IIE .^'1 ^�r �. :►+ S.;yr��,��:'. Proposed Sidewalks PLANNED SIDEWALKS TIGARD,OREGON Pa KITTELSON&ASSOCIATES,INC. TRANSPORTATION PurvrviRG/TRAFFIC ENGINEERING Tigard Downtown Improvement Plan October 2004 �' At .- "" r 2 • PFAFFLLU ES AII IL Y ' 1P HA �', r " 1^� ► s RA 190 411 J LONDON ° ,-_ �' I. O 1t , I •{ t"st C clqz :� �,�Q��:,nn f' �r '♦1♦ ;/ Ali, O- ip'o - • 0 moo ' ` . b16 .,�'�► r / �'F i+ R♦ yILpl�n Oti � >� � p'• ��� �,, 911. ':�,��� -♦�:�Z ` :� le t „` QPG r 1n�92i e n T`1f*OQOO -? ✓ �B'•r9bp•� ►'y�jE{pR,I..+ t, t n 10 y/ M ' dip s .�h .,i, !q '� ���� ! •'�-9-� •�.�fY �' fit!. �;�"4 �I P a'`� r R� r/� c 'ti. �^ ■tom ■ .r .� +,. . 5 •'"�t� T _ . EDGEWOODet �Y P N Bike Facilities EXISTING s■■■■s■o PROPOSED EXISTING AND PLANNED BIKE FACILITIES — TIGARD,OREGON KMR KITTELSON&ASSOCIATES,INC. ANSPOATATONPTANNNc,TAaFFCENGINEERING 22 OF 40 The current City of Tigard TSP includes an extension of Ash Street from ORE 99W to Hunziker through a portion of the Fanno Creek Pathway. This project has been under consideration for many years, and has been in and out of the TSP and Comprehensive Plan at least once. Impacts to pedestrian and bicycle circulation, as well as environmental impacts, would have to be studied in detail as part of any Ash Street extension project. The City and neighborhoods collective desire for this project will be reconsidered in this project. Attractions The relatively flat terrain and currently low traffic volumes make cycling an attractive possibility within Downtown Tigard. In addition, with the existing Tri-Met Transit Center and the future Commuter Rail station, there is a possibility for cyclists to transfer from a local trip on a bicycle to a sub-regional or regional trip on the bus or commuter rail. Tigard Cycle & Ski on Main Street could be a resource to build on for cyclist education and outreach, especially given its strategic location along the Fanno Creek Greenway. It is also important to note that the Hit-N-Run Paintball on Commercial Street, the library, and the proposed skate-park at City Hall are likely to attract youth to the Downtown area and adequate routes and bicycle parking should be provided at these destinations. Transit Figure 5 shows the Tri-Met bus routes that travel through Downtown Tigard and to and from the Tri-Met Transit Center located on Commercial Street. As summarized in Table 2, Tri-Met provides seven bus routes within the Downtown Improvement Plan area, with five serving the Tigard Transit Center and two running on 99W. Table 2 Summary of Downtown Tigard Transit Service Route Headways Major Destination • 15 minute headways from 5:30 a.m.to 9:00 p.m. Portland City Center via Tigard and Barbur Transit 12 Centers—30 minute trip • 30 minute headways from 9:00 p.m.to Midnight • 23 minute headways from 5:30 a.m.to 9:00 am. Portland City Center via Washington Square—45 minute trip • 60 minute headways from 9:00 a.m.to 2:00 p.m. 45 • 35 minute headways from 2:00 p.m.to 5:30 p.m. • 60 minute headways from 5:30 p.m.to 8:45 p.m. • 23 minute headways from 5:45 a.m.to 7:45 am. Marquam Hill via Barbur Transit Center—30 64X minute trip • 33 minute headways from 3:30 p.m.to 5:45 p.m.returning from Marquam Hill • 30 minute headways from 6:15 a.m.to 7:15 p.m. Tualatin to Beaverton Transit Center via 76 Washington square TC—30 minute trip to • 60 minute headways from 7:15 until 10:00 p.m.or 11:00 p.m. Beaverton;25 minute trip to Tualatin (depending on the direction) • 30 minute headways from 6:00 a.m.until 7:30 p.m Lake Oswego to Beaverton Transit Center via Tigard and Washington Square Transit Center—25 78 • 60 minute headways from 7:30 until 11:30 p.m. minute trip to Lake Oswego,30 minute trip to Beaverton • 11 minute headways from 6:10 a.m.to 8:00 am.from Sherwood to Express bus from Sherwood to Portland City Portland City Center Center 94 • 11 minute headways from 3:30 p.m.to 6:00 p.m.Portland City Center to Sherwood City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 23 OF 40 Route Headways Major Destination • 17 minute headways from 6:20 a.m.to 7:30 am.from Sherwood to Express bus from Sherwood to Portland City Portland City Center Center 95 • 30 minute headways from 4:40 p.m.to 5:40 p.m.from Portland City Center to Sherwood In the future, Commuter Rail from Wilsonville to Beaverton will also stop at the transit center. Commuter Rail will operate during the morning and evening rush hours and it is forecast that a total of 4,650 people will ride the trains daily. Plans are under development for track re-alignment, pedestrian access to and from the station and trains, and parking supply and access in Downtown Tigard. The addition of commuter rail to the existing transit mix may result in some shift of ridership from existing bus service. An analysis of the impact of this shift is beyond the scope of this study. With this amount of transit to and from Downtown Tigard and along the boundaries, there is an opportunity for Downtown Tigard to become a multi-modal center; however it will be important to appropriately manage parking supply so that the Downtown does not become a park and ride facility. It will also be important to develop a pedestrian and bicycle system that is comprehensive and provides safe and intuitive access to and from the Transit Center and within Downtown Tigard. Parking System City of Tigard staff and the members of the Downtown Task Force conducted a parking supply and demand survey on a typical Tuesday and Thursday during the summer of 2003. Although a number of factors have changed since the parking survey was conducted (e.g. Tigard Fitness is operational again), the City staff believes that the general survey results are still valid. The survey was conducted on both sides of Burnham, Commercial, and Main Streets. The purpose of the survey was to identify the type and location of parking and the demand for parking in Downtown Tigard. In the survey Main Street was divided into two parts: East Main Street, which is Main Street east of the railroad tracks toward the Rite Aid;West Main Street,which is Main Street toward the Fanno Creek Pathway. Parking Supply At the time of the parking survey there were a total of 1,295 parking spaces in Downtown Tigard; of those, 235 were on-street and 1,060 were off-street spaces. Among the on-street spaces, four are designated as 15-minute spaces, 54 designated as 2-hour spaces; and the rest do not have time restrictions. The City of Tigard currently provides limited enforcement of these parking restrictions. Of the 1,060 off- street spaces, 94 are marked as restricted to patrons of individual businesses while the remaining 966 are unmarked. On-street parking on the north side of Main Street is generally diagonal (except where space limitations between driveways allow only for parallel parking) while parking along the south side of Main Street is parallel to the curb. There are a limited number of handicapped parking spaces within the district and their location was not identified in this survey. Table 3 summarizes parking supply in Downtown Tigard. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 Tigard Downtown Improvement Plan October 2004 0 PFAFFLES *fir •'z�Q n '_- -�^ *�l�� ;�� Z —_moi•^'"'• r` '#f., -"I 'r y `' „ ^• off a L•ENIS � '�� r� r A" 'ad�i�rNj IR ,; _ LONDON ri8 — 1 Off*.,` J, GCS iw..,. - ,Z• _ FNT All 041, solo 1: .i.. �� FBF _ �� �� ,�", £*u I.... �•i "�j;� NgS T, e cod 0, 117k \��G , by �� �� •�� ,',\ 40 /%�4111-1#0 \ fa a • rll P si AMM 74, _ S' ..a. •. �1' V s y F g`Z' ��' ..ear i�� � -' �.�2 � ���..wswJ��w.• a�,� � _',�'. A lI y "i ■ y�' b* p .. REGINA , 0 Transit Center �� _• e __ N ,�., r� Bus Stops Bus Routes N .......... 12 ....... 78 www ■ 45 w..w... 94 I. 76 ■■■■■■■■ 95 EXISTING TRANSIT ROUTES — TIGARD,OREGON KKKITTELSON&ASSOCIATES,INC. ANSPORTATONPTANNNc/TRAFFIC ENGINEERING 25 OF 40 Table 3 Downtown Tigard Parking Inventory On-Street Parking Supply Off-Street Parking Supply Street 15-minute 2-hour Unrestricted Restricted Unrestricted Total Main west of railroad tracks 2 15 78 19 186 300 Main east of railroad tracks 2 15 35 41 542 635 Commercial. 0 21 40 26 76 163 Burnham 0 3 24 8 162 197 Total 4 54 177 94 966 1295 Parking Utilization The parking utilization results summarized in Table 4 shows the percent of occupied parking spaces during the survey hours. The utilization survey was conducted for on-street parking only. The survey was conducted from 8:00 a.m. to 10:00 a.m., 11:30 a.m. to 1:30 p.m., and 4:00 p.m. to 6:00 p.m. As shown in this table, parking utilization for each street and for the system as a whole was well below 50 percent. The highest parking utilization was during the lunch hour and the highest localized utilization levels were directly in front of restaurants during their hours of service. Table 4 Downtown Tigard Parking Utilization Street Peak Hour West Main East Main Commercial Burnham Total AM Peak Hour 32% 12% 20% 40% 26% Mid-day 42% 36% 26% 41% 36% PM Peak Hour 27% 20% 17% 21% 21% Total 34% 23% 21% 34% 28% Many members of the Task Force began the survey believing that there was a significant parking shortage in Downtown Tigard, but finished believing that there were more than enough parking spaces within the Downtown area. City staff also compared these results to the Urban Land Institute's parking thresholds, which recommend that agencies should begin planning for new parking supply when utilization rates exceed 70 percent. According to this threshold,this is currently not an issue in Downtown Tigard. Parking Duration Parking duration at a single space varied significantly by location, with an average parking duration of 3.5 hours on Burnham Street, 3 hours on Commercial Street, 1.5 hours on West Main, and 0.75 hours on East Main. Also observed was the prevalence of the same vehicles in front of some businesses for several hours, suggesting that employees might be parking in spaces most desirable for customers. Commuter Rail Parking Current commuter rail plans include a stop in Downtown Tigard. This would include construction of a new 120-space parking lot over the easternmost pair of train tracks on the south side of Main Street with an access to East Main Street in the vicinity of the railroad crossing. As planning continues it will be important to review the designs for this lot and determine how this will affect circulation patterns on Main Street as well as the proposal to link Walnut Street with Ash Street on either side of the railroad tracks. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 Tigard Downtown Improvement Plan October 2004 Nt2, p s ram Ln LEWIS J Ta' R' n ^ „ ae. r. � NACIRA �, z p LONDON m O G z ♦� �r cF' �G '.: y 41 ♦♦���. ����< - ` .� '", �,�o ,Fig lot ♦♦.♦♦ Fl�C ... ♦♦♦�♦�.... /�s 40 c3 mR GQ •F •�1 #. 1�.. s aY.,., 1. •• 74 J ^� \a vwi G, f <�`r♦♦ g --. -.00 e, OVARA � �-�• ifa e a EDGEWOOD :. y rrrrrr� ARTERIAL 10000 COLLECTOR LOCAL N i PLANNED ARTERIAL i W■■r PLANNED COLLECTOR 4U PLANNED NEIGHBORHOOD ROADWAY FUNCTIONAL CLASSIFICATION AND TRAFFIC SIGNALS — TIGARD,OREGON KKKKITTELSON&ASSOCIATES,INC. ANSPORTATONPLANNING/TRAFFIC ENGINEERING 27 OF 40 Vehicle Transportation System Figure 6 shows the roadway classification system within the project study area for existing streets and the proposed connection of Walnut Street to Ash Street and north to Scoffins Street. This connection has been planned for many years. However, a major constraint to implementing this concept is acquiring the permit for a new railroad crossing of the Burlington Northern and Southern Pacific railroad tracks. The City will need to work collaboratively with the railroad to acquire a new permit for a new crossing. This would include closing at least one other crossing in Tigard and likely include an effort to identify an alternative switching area to replace the existing switching area between Hall Boulevard and Main Street. The current use of the railroad tracks for switching operations has a negative impact on traffic patterns on both Hall Boulevard and Main Street, with long lines of vehicles waiting as trains block the roadway for extended periods of time. During the one-hour walking tour, trains stopped traffic on at least four occasions, with queues forming each time. Finding an alternative switching site would have benefits not just for the proposed Ash Street extension but also for general traffic flow. Figure 6 also shows the location of the traffic signals within the study area. All other intersections within the study area are either controlled by stop signs or there is no traffic control. DKS Associates conducted a traffic study for the Commuter Rail project in February 2003. Based on this study there were no peak hour capacity or delay constraints on Main Street at Burnham Street, Tigard Street, or Commercial Street. However, while on the walking tour, City of Tigard staff indicated that if there is congestion on the Oregon 99W viaduct, some motorists divert to Main Street through Tigard as a short cut, which in turn causes short-term congestion on Main Street. Staff also indicated that motorists regularly disregard the all-way stop controlled intersection at Main Street/Burnham Street. The traffic volumes and level of service results taken from the DKS study are shown in Appendix A. All of the roadways within the project study area are two lane roads with the exception of Hall Boulevard and Oregon 99W. Hall Boulevard is a two-lane road north of Burnham Street and a three-lane road south of Burnham Street. There are bike lanes on both sides of Hall Boulevard. The roadway is ODOT jurisdiction and classified as a District Highway. The posted speed limit is 30 miles per hour near 99W and 45 miles per hour near McDonald Street. The Metro Regional Transportation Plan calls for widening Hall Boulevard to a five-lane road through the project study area. A major consideration in the Hall Boulevard project should be developing a street design that accommodates all modes of transportation and provides the connectivity needed between the new Tigard library, City Hall and Downtown Tigard. Oregon 99W through the project study area is a six-lane roadway under ODOT jurisdiction. It is classified by ODOT as a Statewide Highway on the National Highway System. Planned Proiects...CIP The City of Tigard Capital Improvement Program (CIP) for FY 04-09 includes the following specific projects within the project study area: • Curb extensions on Main Street at Burnham Street in front of the Main Street Car Wash (FY 04- 05); • Modifying a curb return on Main Street/Commercial Street to accommodate Tri-Met buses (FY 04-05); • Hall Boulevard improvements from the Fanno Creek Bridge north to City Hall — project description forthcoming from Tigard Staff(FY 06-07); • Design, right of way acquisition, and construction of Burnham Street improvements. This is scheduled to be complete by the end of FY 08. Current plans for Burnham Street call for a three- lane cross-section; other amenities such as bike lanes, sidewalks,medians and landscaping will be City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 28 OF 40 identified through this process. Care has to be taken in planning to account for the Fire Station on the south end of Burnham Street; and • Design and Feasibility analysis for re-aligning the intersection of Hall Boulevard/Scoffin Street/Hunziker Street. There are other general programs in the CIP (i.e. traffic calming, striping, sidewalks and pedestrian improvements)that may become a resource project for funding within the Tigard Downtown study area. Planned Projects...TSP The City of Tigard's TSP identifies several desired changes to the transportation system within or having the potential to impact the project study area: • A proposed extension of Ash Street from Highway 99W to Hunziker Street. • Intersection Improvements at o Main Street/Greenburg Road/Ore 99W — Southbound right turn lane, retain westbound right turn lane when Ore 99W is widened to seven lanes o Hall/Ore 99W — Southbound right turn lane, northbound left turn lane, westbound right turn overlap,retain westbound right turn lane when ORE 99W is widened to 7 lanes. • Sidewalks on both sides of Hall Boulevard, SW Hunziker Street, the proposed Ash Street extension • Bike Lanes on the proposed Ash Street extension, Burnham Street, and Commercial Street. In addition Hall Boulevard and the Fanno Creek pathway are designated as Regional Access Bikeway, and Regional multi-use path respectively • Provide a commuter rail station • Provide transit amenities at major bus stops • Improve pedestrian connections to Transit Facilities • Decrease headways Street Desikn Guidelines The City of Tigard, ODOT and Metro functional classifications of streets within the project study area are summarized in Table 5 below. These classifications are used to identify street design concepts according to Tigard, ODOT and Metro Guidelines. In addition, Metro guidelines indicate that the Fanno Creek Pathway as a regional trail. Table 5 Downtown Tigard Street Classifications Street Tigard Classification ODOT Classification Metro Classification Oregon 99W Arterial Statewide Highway Regional Boulevard Potential light rail or rapid bus Regional bus Major Arterial Main Roadway Route for Freight Regional Corridor for Cyclists Transit/Mixed Use Corridor City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 29 OF 40 Hall Boulevard Arterial District Highway Community Boulevard Minor Arterial Regional Corridor for Cyclists Transit/Mixed Use Corridor Burnham Street Collector None None Main Street Collector None None Commercial Street Collector None None Scoffins Boulevard Collector None None Ash Street(Existing and Collector None None Proposed) Table 6 shows the width of roadway characteristics identified in both sets of guidelines. As shown in this table, a major distinction between these design guidelines is the desired width of sidewalk. Metro design guidelines call for an eleven or twelve foot sidewalk. City of Tigard guidelines call for a six-foot sidewalk. This difference will significantly influence right of way requirements. Metro design guidelines also call for eleven-foot travel lanes, and Tigard guidelines call for twelve-foot travel lanes. Examples of Metro regional boulevard and community boulevard street design guidelines are included in Appendix C. Tigard's major arterial street design guidelines are included in Appendix D. ODOT's typical urban fringe/suburban area, STA and UBA roadway element minimum design standards are included in Appendix B. These guidelines are taken directly from the ODOT Highway Design Manual Table 6 Street Design Guidelines Typical Widths Street Right of Way Sidewalks Planter Bike Parking Lane Median Type Requirements Strip Lane Lane Widths Widths Tigard Varies by Major Number of 6 feet 6 feet 6 feet None 12 feet Varies 12 to Arterial Lanes-60 feet 14 feet to 122 feet 100 feet(or 116 Varies- 10 Metro if double median feet, or wider Regional boulevard is 11 feet 7 feet 5 feet None 11 feet where left Boulevard used) turns provided 7 feet as a Varies- 10 Metro periodic cut feet, or wider Community 80 feet 12 feet 7 feet 5 feet out in planter 11 feet where left Boulevard strip turns provided Examples of Metro regional boulevard and community boulevard street design guidelines are included in Appendix C. Tigard's major arterial street design guidelines are included in Appendix D. Rail Corridor Current Conditions All trackage within Tigard is operated by Portland & Western Railroad, Inc. (PNWR), which is headquartered in Salem. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 30 OF 40 Under current operations, approximately eight freight trains visit Tigard over any 24-hour day period. Some of these do not stop,but others pause to pick up and/or leave cars (switching). All crossings in the vicinity of downtown Tigard, from North Dakota Street through Hall Boulevard, are subject to blockage from time to time by switching. This activity results in added noise caused by the back and forth nature of switching plus train whistling and vibrations emanating from the movement. At the present time the main tracks through Tigard are acceptable for 25 MPH freight operation. Speed on auxiliary and industry tracks is restricted to less than 10 MPH. Major commodities moved through Tigard include forest products,manufactured industrial products, aggregates (crushed rock and sand),bulk feed,paper,propane and fertilizers. Future Conditions The Washington County Commuter Rail Project, which forecasts start of commuter service between Wilsonville and Beaverton in fall of 2007, will drastically alter the appearance and character of the railroad through Tigard. Replacing the system of older tracks will be a modern two-track, fast-moving state-of-the-art passenger and freight railroad built to heavy-duty standards. With 40-plus train movements daily during the week (32 commuter and eight freight trains), the Beaverton-Tigard rail corridor will become one of the busiest segments of railroad in Oregon. Removal of the old Oregon Electric main track and parallel siding in the vicinity of Hall Boulevard, Main Street and north along Tigard Avenue will eliminate current facilities for storing and switching freight cars in Tigard. New track to be built near Beaverton City Hall will replace trackage lost in Tigard. However, compared with present day operations, PNWR may lose overall trackage for conducting freight operations. Because freight volume is expected to increase over time, PNWR is advocating for the creation of a storage track south of Hall Boulevard that aside from storage uses, would also provide access to existing industrial spurs in this area. Switching movements at the north end of this potential storage track might affect traffic on Hall Boulevard and possibly Main Street. According to PNWR,the commuter track upgrade will meet standards for designation as Federal Railroad Administration Class 4. Class 4 tracks permit maximum speeds of 80 MPH and 60 MPH for passenger and freight trains, respectively. While TriMet does not propose passenger speed anywhere in Tigard faster than 65 MPH, PNWR believes freight operation between 40 MPH and 60 MPH is feasible and desirable. While improvements will permit passenger operation up to 65 MPH, most of the trackage in the City of Tigard will be posted for operation at less than that speed. Moreover, other factors often intercede to cause operation slower than the maximum permissible limit. For example, all 32 passenger trains will be scheduled to stop at Tigard station between Main Street and Hall Boulevard. Accordingly, these trains either will be slowing to stop or accelerating after stopping, resulting in passage over Main and Hall at speeds less than the allowable maximum. Because freight trains won't stop at the platform, they have potential to pass through Tigard at speeds greater than today,perhaps up to 60 MPH. The initial morning commute schedule entails running 16 trains, eight trains in each direction; the evening program is the same. The quick passage of these relatively lightweight vehicles should be significantly less intrusive for railroad neighbors and the downtown business district than the passing of a conventional locomotive-hauled freight train. To help achieve on-time performance, PNWR has agreed to minimize freight train interference during the morning and evening rush-hour periods. To do this the freight activity currently operation primarily during the day will shift to operation at night. While the number of trains will increase from eight to 40 per 24-hour period, increased freight activity at night is likely to be noticed most by residents who live along or near the rail corridor. Train whistling, noise accompanying faster freight train movement, and possible vibration in structures close to the track are potential sources City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 31 OF 40 of conflict with residential land uses. Also likely to be voiced is concern that more frequent and faster trains endanger motorists, pedestrians and trespassers on the urban right of way. It should be noted that the faster trains would require less time to transit the community and shorten interruptions at crossings. Although there will be 32 of them per day, the very short length of the two-car commute trains will cause minimal delays at grade crossings. Land-Use Issues Future zoning decisions should recognize the rail corridor's heavy industrial character and use, and seek to limit conflicts with other more sensitive development. For example, homes and apartments developed adjacent to railroads can creating discontented residents and increase the potential for personal and property damage resulting from rail accidents. Natural Environment Downtown Tigard is bordered to the southwest by Fanno Creek and its associated riparian features. The City of Portland Bureau of Environmental Services Clean Rivers website describes the creek as a 15-mile waterway located within the Tualatin River basin that flows from the intersection of Southwest Capitol Highway and Beaverton Hillsdale Highway (near Wilson High School) to the Tualatin River in the town of Durham. Fanno Creek and its tributaries drain about 7,800 acres of residential land, open space and undeveloped forested areas. The watershed supports diverse wildlife species including amphibians, reptiles, birds, fish and mammals. Although half the land is open space or undeveloped, the area's steep slopes and clay soils create relatively high stormwater volumes. The lower portion of the watershed is heavily urbanized. Fanno Creek flows for approximately nine tenths of a mile within the Plan Area along its southwestern boundary. Several delineated wetlands are associated with Fanno Creek within the Plan Area, and Fanno Creek's 100-year floodplain ranges from approximately 50 feet on either side of the creek's centerline near Main Street to approximately 375 feet on either side of the creek's centerline near Ash Street (see Figure 7 Fanno Creek Natural Resources.) The City of Tigard's Local Wetlands Inventory Wetlands Assessment, prepared in 1994, delineated six identified wetlands within the Plan Area along Fanno Creek. This system of wetlands within the Plan Area totals 22.63 acres. Vegetation within and around the wetlands includes native species, but is dominated by non-native vegetation, such as reed canary grass and Himalayan blackberry. The vegetative buffer around the wetlands includes western red cedar, Douglas fir, Oregon white oak, and ponderosa pine. The City of Tigard's Fanno Creek Park Enhancement Plan to administer a broad range of strategies to enhance the park's natural ecosystem while also providing recreation, relaxation and nature-viewing. Two of the plan's major goals are to remove non-native vegetation and to install appropriate native plant material. The park has also been a source of unwanted criminal and transient activities, and the plan includes approaches to alleviate this problem. Activities are planned through 2007 and maintenance is expected to continue in perpetuity. Some development already exists within the floodplain and wetland areas as shown on Figure 7 by the existing building footprints, however existing regulations restrict the extent and resulting impacts allowed for any future development. Any development activities within the floodplain or wetland areas surrounding Fanno Creek are subject to the City of Tigard's Sensitive Lands Chapter 18.775 of the Municipal Code, which,in part,is intended to address several layers of regulation as follows: 4 http://www.cleanrivers-pdx.org/clean—rivers/ws—fanno—creek.htm City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 32 OF 40 ■ Flood plain management program as required by the National Flood Insurance Program. ■ Washington County,Clean Water Services Design and Construction Standards. ■ Performance standards of the Metro Urban Growth Management Functional Plan related to water quality and flood management areas (Title III). ■ Requirements of Statewide Planning Goal 5 (Natural Resources) and the safe harbor provisions of the Goal 5 administrative rule pertaining to wetland and riparian corridors. The City of Tigard specifically regulates development within the riparian and wetland areas surrounding Fanno Creek through Section 18.775.090 of the municipal code. Development within protected areas is generally prohibited unless an applicant can demonstrate that the resource is no longer significant (Section 18.775.130 B), or can show through the results of an Environmental, Social, Economic and Energy consequences analysis (in accordance with OAR 660-23-040) that the proposal is justified (Section 18.775.130 A). In addition, federal and state regulations through the U.S. Army Corps of Engineers, the Oregon Department of State Lands, and the Oregon Department of Environmental Quality must be considered for any future development within the wetland areas of Fanno Creek. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 GAF �.. ..���.-...������:.:::.:.:.•::. ;P 10 O � 0 O J O P P�� O I 0 O . O o00 tia O. PQM O 1 . ...:........ ♦ O J O P o O G,. y O O J C'P. . \ F-2 ED O � �'�:.�•�i•.'��:�'.':�:.�.�.�'.'::�.':::::::�•:ii•.'��:�'.':�:.�.�.�'.'::�.':::::::�ii•:•.'���`�'•�:.:.:.'..'.,.�:.�':.:::�ii•:•.'��:�'r:�:.�.�.�'.'::..':::::::�i•.•.�'�.�'.':.�.�.�'.'::�.':::::::�i•:i•.'.�::'r�...�...'.:�......:•.,.:�. :.•::.......�.:.... �•.:. Legend N ARTERIAL ---- NEIGHBORHOOD ON-op River C3 Wetlands Building Footprints - COLLECTOR OTHER O parcels Ai� FEMA Floodplain City of Tigard 1 inch equals 293 feet This product is for informational purposes en9mayngort have npurposes.Usesred for l, TIGARD DOWNTOWN IMPROVEMENT PLAN • engineering orsurveying of this information should review or consult the primary data and information source to ascertain the usability of this information. Fanno Creek Natural Resources Areas Parametria 9/29/04 g:\tigard\apps\tigard_wetland.mxd 34 OF 40 DRAFT GUIDING PRINCIPLES Guiding Principles provide the vision and direction that the entire Downtown improvement planning process will follow throughout development of all concepts, plans, and final documents. They also provide overall context for future planning and development within the Downtown area. The Tigard Downtown Task Force members prepared the following Guiding Principles with the assistance of the consultant team, who provided a draft set of principles based on key findings from the recent building- block planning processes Tigard Beyond Tomorrow and the Oregon Downtown Development Association's Resource Team Report. The draft Guiding Principles provided by the consultant team were also informed by extensive experience with downtown improvement projects. The Task Force reviewed and revised the draft principles and adopted the principles provided below on September 16, 2004. Guiding Principles -Adopted September 16, 2004 The vision for an improved Downtown Tigard must reflect the community's values and cultures. Downtown Tigard should possess the qualities essential to successful downtowns, including: ■ Extended hours of operation...not"folding at 5:00" ■ A mix of employment,retail, housing and cultural/entertainment uses ■ Providing a unique experience not available elsewhere in the community ■ Possessing a"sense of place"with a special identity ■ Being seen as the"center" or the"heart" of the community ■ A vibrant and compact core, accessible by all modes of transportation ■ A feeling of accessibility and safety ■ Accessibility in varied climatic conditions (e.g., throughout the various seasons of the year) Downtown should recognize the value natural resources provide as both an amenity and as a distinct and special"place". Planning for Tigard's Downtown should capitalize on commuter rail and Fanno Creek as catalysts for future investments and development. The Downtown's transportation system should be multi-modal, connecting people, places and activities safely and conveniently. Downtown Tigard's streetscape and public spaces should be pedestrian-friendly, and not visually dominated by the automobile. The Downtown Improvement Plan should be forward thinking, with objectives and actions that will set the community up for future successes. Downtown improvement projects should make creative use of unused and underutilized properties, while maintaining and building upon Tigard's history. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 35 OF 40 The Downtown Improvement Plan should be outcomes-based and action-oriented, with an array of key signature projects capable of being carried out. City codes and regulations should enable the Downtown Improvement Plan's vision to be carried out,recognizing the difference between Downtown and other commercial centers. OPPORTUNITIES AND CONSTRAINTS Opportunities and constraints are defined as—opportunities for, and constraints to, improving Downtown Tigard (through the project Design Alternatives) consistent with the adopted Guiding Principles (included earlier in this report). They are described below in two sections — Land Use, Transportation and Natural Environment, and Urban Design. Land Use, Transportation and Natural Environment The matrix below (Table 7) summarizes the opportunities and constraints for elements related to land use, transportation and natural environment.They were developed from the following: • previous planning and visioning efforts • current City of Tigard existing conditions GIS data • draft transportation analysis by the consulting team • City of Tigard staff,Task Force and consultants attended a walking tour of the Plan Area • Task Force comment on their understanding of how the Plan Area functions The matrix briefly describes opportunities and constraints associated with each element. For each constraint, a statement is provided(italicized) about how the project will address the constraint. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 Table 7 Land Use,Transportation and Natural Environment Opportunities &Constraints Matrix ELEMENT OPPORTUNITY 1 CONSTRAINT Land Use Main Street Retail Healthy retail district with complimentary uses Additional retail uses will increase competition and could diminish viability of some existing uses. Market analysis will include recommendations for maintaining the long-term retail health of the existing main street district. Mixed Use Increases market support for Main Street Comprehensive plan, zoning ordinance and design standards will be needed to maximize compatibility between uses.Implementation strategies will include concept level recommendations to address compatibility. Residential Key feature of healthy downtown—wide range of residential prototypes Community sensitivity to introduction of new housing prototype for downtown-high-density multi-family. The design team will explore design solutions to address height/massing/scale, and transportation and affordability impacts.. Office Establish a"working downtown" Comprehensive improvements to circulation throughout downtown. Transportation analysis will recommend a local circulation system and Strengthen"civic district" parking program best suited for circulation and site development efficiency. Enhance "employment district" with a flexible architectural prototype (adaptive flex space) to respond to changes in the office market over time. Industrial/Manufacturing Reduce proportion of uses over time while maintaining flexibility Maintain jobs and healthy economy. Market analysis will recommend phased approach to job replacement to maintain healthy employment balance for downtown Tigard. Auto Dependent Uses Enhance multi-modal, walkability of downtown Reduction of parking standards. Implementation strategies will include concept level recommendations for a parking program to maximize efficiency. Transportation Multi-Modality Accommodate all modes in streetscape design Cost More continuity in sidewalks Right-of-way availability needs to be explored. Transportation analysis will include an assessment of right-of-way impacts associated with new Relatively flat terrain good for ped/bike access streets. Facilities Separate facilities for pedestrians and bikes Cost Flood plain regulations Implementation strategies will describe state and federal requirements and explore "green street"design solutions. Functional Classification Provide more connectivity Limited through-put and local connectivity Transportation analysis will recommend street system additions/extension necessary to maintain a healthy and safe system. Accessibility More connections from adjacent areas Limited due to grade changes Pedestrian/bike access at 99W underpass Cost and safety concerns—security Transportation analysis and site design solutions will include safety features(maximize visual exposure, lighting, etc.) Rall Connect station area to Main Street Train and auto queueing conflicts Direction connection to platform from Main St. Freight rail shifting to night operation may be incompatible with nearby residential uses se station area as catalyst for future development Safety at Main St crossing and along railroad rights of way Limited effect of commuter rail as inducement to"transit oriented community" Design analysis will include short-term viability for commuter rail and a phased approach to long-term development as a station area community. Transportation System Connections / extensions to enhance local street connectivity — Ash, Walnut, new local streets, Rail crossing permit—BN&SP etc. All circulation analysis will include ODOT Rail review as part of project Technical Advisory Committee. Relevant Policies STA or UBA designations 99W does not exhibit characteristics for designation TA designation would allow for the development of a cross-section with slower travel speeds, Hall Blvd.may be candidate for designation arrower lanes, wider sidewalks. UBA un-likely in either case It is a practice and goal of the ODOT Rail Division to achieve no net gain in railroad crossings A f Transportation analysis will include a comprehensive evaluation of the potential for area roadway network special designations. Natural Environment Integrate Fanno Creek and Public space and visual connections Floodplain regulations restrict use and street impervious surfaces related green areas "Green"streets Additional local,federal and state restrictions and requirements Green and water element into streetscape design Implementation strategies will describe state and federal requirements and explore "green street"design solutions. Central Gathering Place Park/public gathering place with access to green space and Fanno Creek trail system Floodplain management Clean Water Services Design requirements Implementation strategies will describe state and federal requirements and describe compliant passive recreation opportunities.. Natural Resource Beauty Help define sense of identity for downtown Additional design detail and compliance for integration in public and private development Same as above. Urban Design Opportunities & Constraints Figure 8, Urban Design Opportunities & Constraints, summarizes the Urban Design Opportunities and Constraints. They are a result of a compilation of Task Force recommendations by the consulting team. The Task Force members individually toured the downtown plan area to create maps showing how they perceive the study area. They used design terms provided by the consulting team. These terms helped the Task Force simplify and describe how they experience downtown. These design terms are as follows: ■ Paths are channels along which people customarily, occasionally, or potentially move— sidewalks,trails, streets, etc. ■ Edges are linear barriers that restrict lateral movement—freeways,rails,rivers,etc. ■ Districts are multiple-block"mini-neighborhoods"which people can go mentally"inside of and which have some common, identifying character or association—old towns, China Town, warehouse districts, shopping districts, etc. ■ Nodes are block size or smaller"points" of concentrated activity through which people pass—intersections,train stations, public outdoor space, "100% corners" (retail/ commercial/mix use activity centers), etc. ■ Landmarks are singular features that contrast with their background, occupy a prominent location or in some way distinctly signify a place—clock or bell towers, distinct buildings,public art,key public places, etc. The following summarizes a composite of the Task Force findings: Opportunities Paths ■ Upgrade the Fanno Creek trail to enhance visual connections from downtown and physical connections to neighborhoods ■ Increase east-west connectivity—local and through-put circulation ■ Pedestrian circulation in place of abandoned RR right-of-way ■ Increase multi-modal character of downtown streets Edges ■ Increase pedestrian-friendly connections to downtown across Hwy. 99W, Hall Blvd and the RR. ■ Increase access to and connections along, Fanno Creek ■ Perforate edges with visual and physical connections when technically feasible Districts ■ Reinforce Main Street as the primary retail district ■ Establish mixed use(employment/housing) districts to"feed"Main Street ■ Take advantage of natural features—hillside views at the top of Main Street,proximity to Fanno Creek—to distinguish districts. 39 OF 40 ■ Enhance pedestrian connections and central focus (new district?)between civic and Main Street districts. Nodes ■ The intersection of Main Street and the rail lines provides a high activity node ■ The area around Value Village and Rite Aid is underused and provides opportunity for increased density and activity ■ Establish series of pedestrian-scaled—"living rooms"throughout districts within a five minute walk of each other Landmarks ■ The entrance from OR 99W at the south end of Main Street is a gateway into downtown ■ One or two buildings on Main Street may be vacant or removed in the foreseeable future allowing for some influence over what use is installed in their place ■ Kauffman's is famous in the fly fishing business ■ The former Greyhound ticket sales building at the TriMet transit center is vacant offering an opportunity to influence how it is used in the future ■ A skate park is planned in the southern end of Plan Area adding focus and activity to that end of downtown Constraints ■ Dominance of light industrial uses outside of Main Street ■ Lack of boutique and service oriented retail outside of Main Street ■ Public spaces are scattered throughout the Plan Area with no focal point ■ Only a limited number of residential units exist within the Plan Area ■ Appearance that there are vacant or underused properties in the Plan Area leads to an impression that the area has a low level of activity ■ Existing structures appear to be between poor to average quality ■ It is a practice and goal of the ODOT Rail Division to achieve no net gain in railroad crossings lack of visual cohesion Initial Concepts for Improvement ■ Increase residential/mixed-use development ■ Introduce public space as a focal point—living room(s) ■ Integrate the Fanno Creek natural area into the rest of downtown ■ Increase retail and service uses outside of Main Street ■ Take advantage of entrances to the Plan Area by creating visual gateways ■ Provide for unique,long-term employment ■ More residential—downtown high-density feeling City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 40 OF 40 SUMMARY This existing conditions and opportunities and constraints report 1) summarizes how Downtown Tigard functions today; 2) identifies where opportunities can lead to improvement; 3) identifies current constraints that work against the community's goals; and 4) outlines preliminary concepts that will be further developed in the TDIP. Land use, along with transportation, economic development, and urban design, is a central component to creating the best conditions for a vibrant downtown. The current land uses are lacking in medium to high-density residential dwellings and are dominated by light industrial/office buildings with little pedestrian-friendly orientation. Outside of Main Street, the existing buildings do not create a sense of place and cohesive function,but rather appear to be spread out and auto-dependent. Land use component opportunities that would help improve Downtown's vitality include introducing more residential and mixed-use developments around the planned commuter rail stop, focusing employment and office toward the southeastern corner, near the existing civic uses, and using public spaces to create meeting places. Downtown Tigard has a long history of citizen involvement and is continuing that tradition with the Tigard Downtown Improvement Plan. The findings in this report will be further developed and built upon as the City of Tigard and the Tigard Downtown Task Force talk with community members in the planned Community Dialogs. City of Tigard,OR 273-2395-041 Tigard Downtown Improvement Plan 10104 JOHNSON G A R D N E R TIGARD DOWNTOWN IMPROVEMENT PLAN EXISTING CONDITIONS: ECONOMIC ANALYSIS PREPARED FOR: THE CITY OF TIGARD OCTOBER 12,2004 PORTLAND SEATTLE 520 SW Sixth Avenue,Suite 914,Portland,OR 97204 157 Yesler Way,Suite 508 503/295-7832 503/295-1107(fax) Seattle,WA 98104 TABLE OF CONTENTS I. EXECUTIVE SUMMARY ..................................................................................1 II. MACROECONOMIC OVERVIEW...................................................................3 RegionalTrends.........................................................................................................3 TigardOverview........................................................................................................5 EconomicOutlook......................................................................................................9 III. RENTAL APARTMENTS.................................................................................10 RegionalOverview................................................................................................... 10 Tualatin, Tigard eTWilsonville Submarket Trends..................................................... 11 Tigard Market Area Apartment Survey..................................................................... 12 New Construction, Planned&Proposed Apartment Development............................... 13 Apartment Development Assessment.......................................................................... 13 IV. OWNERSHIP HOUSING................................................................................15 RegionalOverview................................................................................................... 15 Tigard Ownership Housing Trends........................................................................... 16 New Construction, Planned&Proposed Development............................................... 17 Ownership Housing Development Assessment............................................................. 17 V. SPECULATIVE OFFICE..................................................................................19 RegionalOverview................................................................................................... 19 Kruse Way Submarket Trends...................................................................................21 Tigard Area Office Survey........................................................................................22 New Construction, Planned&Proposed Development...............................................23 Office Development Assessment.................................................................................23 VI. INDUSTRIAL & FLEX....................................................................................25 RegionalOverview...................................................................................................25 Westside Submarket Trends......................................................................................26 Tigard IndustriallFlex Survey...................................................................................27 New Construction, Planned&Proposed Development...............................................28 IndustriallFlex Development Assessment....................................................................28 VII. SPECULATIVE RETAIL..................................................................................30 RegionalOverview...................................................................................................30 Tigard, Tualatin, Wilsonville Submarket Trends.......................................................31 Tigard Speculative Retail Survey...............................................................................32 New Construction, Planned&Proposed Development...............................................33 Retail Development Assessment..................................................................................33 TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE i I. EXECUTIVE SUMMARY From a market perspective, Downtown Tigard has a number of opportunities to leverage its existing strengths and promote additional economic and community development: Downtown Development Opportunities ■ Continue to diversify existing mix of private and public uses ■ Build on efforts of strong Downtown business association with active business promotion and retention initiatives ■ Promote location near major arterials, including the Pacific Highway, Hall Boulevard, Greenburg Road and Highway 217 ■ Plan residential and commercial development proximate to the new commuter rail stop ■ Better leverage proximity to Fanno Creek Park and Fanno Creek Greenway Trail ■ Take advantage of a clean slate. No redevelopment initiative has been attempted on a large scale in Tigard. There are many areas with potential for in-fill development. Downtown Tigard also faces a number of obstacles that will constrain future development opportunities. These include the following: Downtown Development Constraints ■ Lack of consolidated downtown corridor ■ Poor visibility due to elevation of Pacific Highway ■ Limited sense of"destination" to draw drivers off of nearby arterials ■ Numerous office and retail competitors with superior access and visibility ■ Lack of housing and residential compatible development ■ Relatively small surrounding residential base and low employment density ■ Rail line noise and traffic congestion Taking into account these market area opportunities and constraints, as well as local and regional market conditions,Johnson Gardner evaluated the short and long-term potential for future development in Downtown Tigard. The table below summarizes our significant findings and conclusions by land use. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 1 FIGURE)-1 TIGARD MARKET CONDITIONS& ASSESSMENT OF DOWNTOWN DEVELOPMENT OPPORTUNITIES BY LAND USE Land Use Occupancy/ Lease Rates/ Short-Term Long-Term SalesActivity ,........._Sale Prices......................................_Development.............................................................................................._Development.................................................. Rental Low $0.80 to$1.05 Weak development Land assembly difficulties may limit Housing occupancy per square foot potential. Apartment substantial new development. Lack of (Apts) levels, quoted rents, market conditions are existing residential component currently effective rents poor in Tigard and Downtown may be a deterrent,but estimated at significantly throughout the metro could be overcome. Central housing 93.0% lower due to area. May be possible would be complementary to planned widespread market support for tax commuter rail stop. concessions credit affordable project. Ownership 72 attached Average of Weak development Similar issues as those raised for Housing home sales in $132 per square potential,despite a surge apartments above. In addition, (Condos) the second foot for new in condominium Downtown Tigard is an unproven quarter,60 of construction, development elsewhere condominium market,which may pose which were $109 per square in Tigard,the an obstacle for any new attached resales foot for resales Downtown lacks a ownership housing development. residential feel,which Long term potential will be a function will be a major of the City's ability to create a impediment to new marketable downtown environment. construction Office Better than $14.00 to Weak development Neighborhood serving office most of $18.00 per potential. High development should keep pace with Portland square foot occupancy in the overall modest local population growth. MSA: (Gross) Portland market will Development of a more regional office 93.2%direct, deter immediate new concentration is unlikely given 88.9%with development,despite locational constraints and proximity to sublease space more favorable market existing concentrations in Kruse Way included conditions in Tigard. and Beaverton ......... ......... ..................................................................................................................................................................................._; Industrial Better than $6.00 to$9.00 Modest development From a market perspective,Tigard will Flex most of per square foot potential. Assuming remain an attractive industrial/flex Portland (NNN) continuing economic location with its superb regional access MSA: recovery in Tigard and and large existing industrial 92.0%direct, the greater metro area. concentration. From a policy 90.5%with perspective,additional new sublease space development may be less desirable in included the interest of further diversifying local development and increasing employment density. ......... ..... .......... Retail Healthy $13.00 to Modest development The potential for regional retail occupancy of $16.00 per potential. Retail market downtown is limited due to poor 93.9% square foot conditions throughout visibility and the lack of a major (NNN) the Portland MSA are "destination"to attract passerby away strong as a result of from other big box and strip mall continuing in-migration competitors off of Pacific Highway. and the on-going The planned commuter rail stop will regional economic provide a boost for neighborhood recovery. retailers;however,retail growth may be constrained by only modest population rowth in the City. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 2 H. MACROECONOMIC OVERVIEW The following section provides context for economic trends that shape current and likely future development in Tigard and the greater Portland metropolitan area. Regional Trends Portland metropolitan area employment expanded by 10,400 jobs, or 1.1%, in the second quarter of 2004--a modest improvement over the second quarter of 2003, when employment increased by 6,600 jobs, or 0.7%. The trend on a monthly basis is definitely improving and June marked the fifth consecutive month of local employment growth. Despite recent job gains, the region lags behind the nation, which experienced 2.9% positive job growth in the second quarter! Local employment is stabilizing, but still remains below pre-recession levels. Total employment in June 2004 was 930,400 as compared to 945,600 in 2002. Modest growth is expected to continue throughout 2004 and into 2005. FIGURE II-1: PORTLAND MSA EMPLOYMENT TRENDS, 2000-2004YTD EMPLOYMENT CHANGE FROM PREVIOUS YEAR 30,000 20,000 10,000 O -10,000 -20,000 -30,000 -40,000 Employment gains during the last year were concentrated in Construction (2.0%), Government (1.5%), and Manufacturing (1.4%). High Tech jobs, which have historically driven the local economy, grew by approximately 1.7%. Employment in Professional & ' Based on the Bureau of Labor Statistics Household Survey. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 3 Business Services and Trade, Transportation, Warehousing and Utilities also edged up by 0.3% and 0.1%, respectively. The Leisure & Hospitality sector reported the greatest magnitude of losses ((1,800 jobs), while Information reported the greatest percentage decline (-3.4%). Financial Activities and Education and Health Services also had moderate losses over the period. FIGURE 11-2: PORTLAND MSA EMPLOYMENT BY INDUSTRY, 2Q04 ABSOLUTE GROWTH PERCENT GROWTH High Tech 800 High Tech .7910 Government 1,90o Govern , 1 S� Leisure&Hos lrt (1,800) Leisure Sc 2 1 pica'y Hospitality Eduction&Health Eduction&Health 96 Services CGOOJ S—i— Professional& 300 Professional& 0.3% Business Services Business Services Financial Activities (1,300) Financial Activities -1.9% Information (800) Iaformacwn -3.4 =WU 1/ /00 TTWU 1/ 0.1910 Construction 11000 Construction 2.0910 Maaufac ing 11 600 Maaufact—i-9 1.4916 (5,000) - 5,000 _8% -6% _4% -2% 0% 2% 4% 1/Trade,Transportation,Warehousing&Utilities Despite a 4.4 percent drop in MSA employment between 2000 and 2003, the local population grew by an estimated 5.1 percent.2 In addition to natural increases (more births than deaths), several factors contributed to regional population growth including an accelerated pace of urbanization within the state and in-migration by out-of-state residents. Portland's relative affordability on the West Coast and high quality of living continue to attract outsiders to the metro area even in the absence of employment growth. The result has been a sustained period of relatively high unemployment, which is expected to persist, along with population growth, into the foreseeable future. In July unemployment in the MSA was 6.8% as compared to 5.8% nationally. Boosted by in-migration, residential construction activity is strong, despite only moderate employment growth. In 2003, metro-area residential permitting recorded its highest level since 1997 with 14,631 units, 36% of which were attached product (rental and for-sale attached). So far this year, 6,334 permits have been issued and if construction continues at its current pace permit activity will exceed that of 2003. 2 Oregon Employment Department,2004. People Moved to Oregon Despite Recession. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 4 FIGURE II-4: PORTLAND MSA RESIDENTIAL PERMIT ACTIVITY, 1984-2004 RESIDENTIAL PERMIT ACTIVITY 14,000 12,000 ■Single Family 10,000 11 Multi Family 8,000 6,000 4,000 2,000 0 ti0� ti)� �013 4�1 ti�bb ti�4q titiqC~ ti�C� 1�ql qcs es �013 cls �q� �C)l 40 0 ~ 01, p', 1 X00 *2004 permit activity through May Tigard Overview The Tigard economy is closely linked to that of the greater Portland metropolitan area. A large number of non-residents commute into Tigard for shopping and other services, while a sizeable portion of local residents commute to other parts of the MSA for employment. Within Tigard, wholesale trade, retail trade and the service industry drive the local economy. Retail trade has the most establishments, and the retail and service industries employ the most people.' The figure below summarizes the top ten City employers by number of employees. Most of these employers are located outside of Tigard's Downtown. Within Downtown, the city is by far the largest employer. Private employers include mostly small businesses and light industrial operations. 3 City of Tigard,2002-2003 Profile TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 5 FIGURE II-5: LARGEST TIGARD EMPLOYERS BY NUMBER OF EMPLOYEES, 2003 Company #Employees 1.Renaissance Credit Services 1167 2.Meier&Frank 502 3.Nordstrom Inc. 476 4.Servicemaster Bldg.Maintenance of Tigard 250 5.Rockwell Collins Flight Dynamics 249 6.Quest Diagnostics 246 6.Gerber Legendary Blades 246 8.Home Depot 241 9.Tigard 239 10.U.S.Bancorp.Equip.Finance.Inc. 234 Tigard's population totaled 41,223 in 2000, according to the U.S. Census. Claritas, a statistical reporting firm estimates that the City's population grew by 2.3% annually over the past four years, and will reach 45,093 by the end of 2004. Similarly, the number of households in the City grew at an estimated rate of 2.2% per year rising from 16,507 in 2000 to 18,005 in 2004. The average household size is currently 2.5 persons and is projected to remain steady over the next five years. Most city households can be classified as middle income, earning$35,0004100,000 per year. FIGURE 11-6: TIGARD DISTRIBUTION OF HOUSEHOLDS BY INCOME, 2004 $500,000..d.� 0.3/ $250.000.5499,999 1 1.2 $154000$249,999 6.3 $100.000-5149,999 575,000499,999 14.9% 550,000474,999 7 20.6% 535,000449,999 15.4% 525.000434,999 $15.000$24,999 9.8% t<„moo$15,000 7.9% Tigard's population diversified significantly over the past decade. According to U.S. Census data, the number of residents that identified themselves as white fell from 94% in 1990 to TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 6 84% in 2000. Asians (6%), and other races4 (4%), followed by people of two or more races (3%) made up the next largest racial groups in the City in 2000. It is likely that the Census underestimates the percentage of the population of these non-white groups given these groups tend to have a higher share of unreported residents, which are not incorporated in official Census figures. In addition it should be noted that Hispanics and Latinos are not classified as a group in and of themselves in this data, which is somewhat misleading. The chart below shows the number of people that identify themselves as Hispanic within each of these groups. The chart also shows racial distribution projections for 2004 to 2009 including a breakdown of the population that identifies itself as Hispanic or Latino, approximately 11% in 2004. Projections show increasing diversification of the City's population over the next five years. FIGURE 11-7: TIGARD RACIAL CHARACTERISTICS, 2004-2009 City of Tigard Ethnic Identification 2004 2009 Chane % White alone 37,221 39,617 2,396 6% Black or African American alone 572 716 144 25% American Indian and Alaskan Native alone 297 367 70 24% Asian alone 2,916 3,690 774 27% Native Hawaiian and Other Pacific Islander alone 292 383 91 31% Some other race alone 2,166 2,988 822 38% Two or more races 1,629 2,142 513 31% Total 45,093 49,903 4,810 11% City of Tigard Hispanic Identification 2004 2009 Chane % Non-Hispanic 39,965 42,828 2,863 7% White alone 2,602 3,574 972 37% Black or African American alone 33 47 14 42% American Indian and Alaskan Native alone 47 67 20 43% Asian alone 32 40 8 25% Native Hawaiian and Other Pacific Islander alone 5 8 3 60% Some other race alone 2,091 2,909 818 39% Two or more races 318 430 112 35% Total 45,093 49,903 4,810 11% The majority of City households (72%) are family households with two or more related members. Primary householders followed by children make up the largest share of household members. Cohabitation with an unrelated roommate is less common. See the figure below for a comparison of household composition in Tigard and the greater Portland area. 4 Other races include people of a single race that is not black/African American,American Indian,Pacific Islander or Asian. Many people with Hispanic origin fall into this category. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 7 FIGURE II-8: TIGARD & PORTLAND HOUSEHOLD COMPOSITION, 2000 Household C—posirio.n Prhnary Househdda Spouse ❑Poalaud MSA Children ■Ciry of Ot1117 her Relatives Tigazd Non-relatives 0% Wl 20% 30% 40% The gender balance in Tigard is nearly fifty-fifty. Children aged 0 to 18 make up approximately 27% of the population, while over 50% of the population consists of adults between the ages of 25 and 59. Consistent with national trends, aging of the baby-boomers is expected to result in a growing senior population in the region. FIGURE II-9: TIGARD DEMOGRAPHIC CHARACTERISTICS, 2000 Resident Charictaristics Census Classificati City of Portland Sex Male 49% 49% Female 51% 51% Educational Attainment I/ Bachelor's Deg 36% 33% Some College 64% 67% Age Breakdown 0-18 Years 27% 22% 18-24 Years 8% 9% 25-34 Years 17% 18% 35-44 Years 18% 17% 45-59 Years 18% 19% 60-74 Years 7% 9% 75+Years 6% 6% l/ Educational attainment of population 25+ Source: U.S. Census Bureau &Johnson Gardr TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 8 Tigard residential permit activity averaged 272 units annually over the last eight years. With the exception of 1999, when 255 multi-family permits were issued, there has been virtually no attached single-family construction in the City. Over the past four years, permitting for detached single-family homes picked up as a result of low interest rates, but will likely ease off over the next year with mortgage rate increases expected. FIGURE II-10: TIGARD RESIDENTIAL PERMIT ACTIVITY, 1997-2004 600 500 ■single Family ■Multi Family 400 300 200 100 0 1997 1998 1999 2000 2001 2002 2003 *2004 *2004 permit activity through May Economic Outlook Job gains from February to July, along with continuing national growth, provide some hope for broader job recovery by late 2004.5 Our forecasts assume that the Portland metropolitan area will benefit from a national expansion, although lagging national growth rates. Mortgage rates, which more than anything have bolstered the local housing market, will creep upward over the next several months, though not dramatically. Long-term rates are s Oregon Employment Department,2003 Employment Trends Show Ripple Effects TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 9 determined by demand and supply of long-term debt instruments, largely by Asian central banks such as those of Japan and China. Because those two countries desire to keep their currency strong—to keep a surplus trade balance and render domestic capital assets expensive to foreign investors —the U.S. dollar will be propped up by their purchase of long-term U.S. debt for artificially low interest rates. III. RENTAL APARTMENTS Apartment market conditions in Tigard, as well as the greater Portland metropolitan area, have been relatively soft since the onset of the recession, with low mortgage rates continuing to entice renters to invest in ownership housing options. While the economy is improving and rates are expected to rise, full recovery in the market is not anticipated till the end of 2005. Several new apartment complexes have been proposed in the Tigard area, but only one has a scheduled completion date. Over the short term, new development in Tigard will be constrained by low market occupancy and over-building in other parts of the region. Regional Overview The metropolitan area rental apartment market tightened in the first and second quarters of 2004, with overall occupancy rising 1.0%. According to Norris Beggs & Simpson average rents increased 1.5% during the second quarter, reflecting a 6.1% annualized rate. Investment activity in existing apartment complexes was robust, with 39 transactions reported during the first quarter. Tightening market conditions came on the heels of recent economic growth and reflects a marked improvement over weak market performance throughout 2003. With interest rates expected to rise over the next year, competition from ownership products should continue to diminish; however, inflation, a common side effect of economic expansion, may take its toll on the operations side of complexes with un- metered utilities. Energy costs rose by 15 percent over the last 12 months. The overall market occupancy rate was estimated at 93.4% at the end of the second quarter of 2004. Current estimated occupancy rates range from 91.9% in the Close-in Westside to 94.9% in the Hillsboro/Tanasbourne subregion. All sub-markets except the Close-in Westside experienced a rise in occupancy over the quarter. Weakness in the Close-in Westside may be attributed to several factors including a disproportionately large number of renters taking advantage of lower interest rates and buying homes. It also may be due to a preference for newly constructed apartment product in the nearby Central City. Following a surge in new construction, the Central City sub-market is showing signs of weakness, despite a moderate rise in occupancy. In the second quarter, recently constructed Central City projects offered substantial price discounts and average rents fell by over 18%. Although rental rates are significantly improving in most suburban sub-markets, new construction remains limited to tax-credit projects outside of Downtown Portland, with achievable lease rates still insufficient to justify new market rate construction. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 10 FIGURE III-1: RENTAL APARTMENT MARKET TRENDS / MARKET-RATE UNITS 7,000 10% 6,000 00 8% 5,000 6% 4,000 4% 3,000 2% 2,000 0% 1,000 -2% Esl __J 0 4% 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 NEW RENTAL SUPPLY NET ABSORPTION 10-Year Average Annual Supply 3,459 VACANCY RATE 10-Year Average Annual Absorption 2,835 -RENT ESCALATION 10-Year Average Annual Rental Increase: 2.50 10-Year Average Annual Vacancy Rate: 5.50 Net absorption is projected to outpace new supply in 2004, for the first time since 2000. Overall market conditions are expected to improve through 2005, with average occupancy approaching 95% by mid-2005. Despite recent increases, rent levels are still fairly low and will keep new construction to a minimum until there is a more substantial shift in achievable rents. With a rising interest rate environment and local economic expansion expected, a significant shift in rents is expected in the latter half of 2004 and beginning of 2005. Over the next year, we forecast that demand will exceed new supply, with most new supply in suburban markets continuing to be income-restricted. The overall occupancy rate is projected to climb to 94.2% by the second quarter of 2005. In a reverse of recent trends, the Central City and Close-in markets are expected to become relatively soft, with significant recovery in the suburban markets. The following table summarizes current and projected market conditions by major sub-region in the metropolitan area: Tualatin, Tigard&Wilsonville Submarket Trends Trends in the Tualatin, Tigard,Wilsonville submarket historically mirror those of the greater metropolitan area; however, submarket occupancy is generally 0.5% to 1.0% below that of the MSA. Occupancy in the submarket currently averages 93.0% as compared to 93.4% in the Portland region. Unlike occupancy levels, rents in the Tualatin, Tigard, Wilsonville submarket tend to be consistent with those of the metro area. In the second quarter of 2004 new unit rents were $764 in the submarket, and $762 in the greater MSA. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 11 FIGURE III-2: TIGARD, TUALATIN & WILSONVILLE APARTMENT TRENDS 111 K1 • • 11 Year End Net Net Occupied Occupancy l c.ir Inventor 1/ Additions 2/ Absorption Units Rate 700 95% 600 9596 1995 10,796 203 -- 10,283 95.2% 500 9496 1996 11,150 354 369 10,651 95.5% 400 1997 11,613 463 289 10,940 94.2% y300 93% z 1998 11,635 22 -61 10,879 93.5% L'200 • 92% 1999 12,034 399 565 11,444 95.1% '�100 2000 12,044 10 16 11,460 95.1% 0 0New Supply 91 o 2001 12,173 129 -200 11,260 92.5% �Ner Absorpriou 90% 2002 12,544 371 375 11,634 92.8% -too +o parKrRa�e 8996 2003 12,846 302 40 11,674 90,9% -200 2Q04 12,995 149 409 12,082 93.0% -300 88% 1995 1996 1997 1998 1999 2000 2001 2002 2003 2Q04 • •' Vet Net Occupied Occupancy 90 93.795 Qua-, Inventory Additions Absorption Units Rate 80 93.795 2Q04 12,995 -- -- 12,082 93.0% 70 93,695 3Q04 12,995 0 59 12,142 93.4% 60 a 93.696 V 4Q04 13,039 44 59 12,201 93.6% E.50 Q IQ05 13,092 53 59 12,260 93.6% Z 93.595 a 2Q05 13,169 77 59 12,319 93.5% 910 v 30 93.595 D New Supply 20 �N.Absor 93.495 prio 10 �A-0 c pavry Rare 93.495 0 93.3% 3Q04 4Q04 1Q05 2Q05 Over the last five years, new apartment construction in the Tualatin, Tigard, Wilsonville submarket outpaced construction in the MSA. The inventory of 15+ unit apartments in Portland grew by 3.76%, while it rose by 9.80% in the submarket. In the coming year, 174 new apartment units are scheduled to come on-line in the sub-market, but absorption is expected to outpace new supply,pushing up occupancy 0.5% to 93.5%. Tigard Market AreaApartment Survey To establish market conditions specific to the Tigard market area, JOHNSON GARDNER surveyed eight market-rate apartment complexes in the City of Tigard. See the figure below. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 12 FIGURE III-3: SURVEY OF TIGARD MARKET RATE APARTMENTS Project Name/ Year Unit Characteristics Units Occupancy Monthly Rents Location Built Total Type Size(S.F.) Mix Occupied Rate(%) Price Price/S.F. Arbor Heights 1997 348 820 330 95% $652 $0.80 Main Street Village 1994 243 704 234 96% $802 $1.17 Meadow Creek 1985 304 418 284 93% $595 $1.42 Avalon Park 1990 192 770 173 90% $668 $0.89 Sumer Creek 1997 150 982 149 99% $945 $0.98 Fanno Creek 1992 60 1,168 58 97% $942 $0.81 Brighton Hills 1968 62 750 48 77% $588 $0.78 Bull Mountain Heights 1996 126 822 112 89% $642 $0.78 TOTAL/AVERAGE 1,485 740 1,388 93% $705 $0.95 Surveyed complexes comprise approximately 1,500 units, which average 740 square feet in size. Their overall occupancy, at 93%, is roughly consistent with that of the Tualatin, Tigard, Wilsonville sub-market as well as the greater Portland metropolitan area. In contrast, their average rent of$0.95 per square foot is higher than the $0.83 rate in newly constructed projects in the Tualatin, Tigard, Wilsonville submarket. This suggests that Tigard rents may be higher than those in Tualatin and Wilsonville, or more likely, that rents in our survey are inflated and do not reflect rent concessions offered by surveyed Tigard projects. A number of property managers we spoke with, particularly those in older projects with higher vacancy, said they offered up to two months free with a year lease. New Construction, Planned&Proposed Apartment Development There is one 32-unit affordable/mixed income apartment complex currently under construction in the City of Tigard. Four other developments comprising 247 units have been proposed in the City, but one has been abandoned and the remaining three are still in pre-planning and planning stages. See the figure below. FIGURE III-4: TIGARD APARTMENT PIPELINE FOR NEW DEVELOPMENT Number Target Property Project Project Tide Primary Owner Name Primary Address of Units Completion Type Stars Apartments The Dalton Company 16185 SW 108th Ave 111 NA Apartmen¢ Abandoned Bull Mountain Heights Apartments-Phase III MCH Constmction 11336 SW Bull Mountain Rd 70 NA Apartments NA Bull Mountain Heights Apartments Ph II MCH Constmction 11336 SW Bull Mountain Rd 42 NA Apartments Planning Coe Apartments Gary Coe 11115 SW 135th Ave 24 NA Apartments Pre-Planning Oleson Woods Aparnnenn Community Parmets for Affordable Housing SW 91th Ave&SW Oleson Rd 32 May-05 Apartments(Subsidized) Start Apartment Development Assessment Based on our review of regional and market area apartment trends, it is the opinion of Johnson Gardner that there is limited market support for additional apartment development in Tigard over the short term. The following figure summarizes our market findings: TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 13 FIGURE III-5: APARTMENT DEVELOPMENT POTENTIAL & FEASIBILITY COMPETITIVE ADVANTAGES ■ Proximity to Major Arterials Including Pacific Highway, Hall Boulevard, Greenburg Road and Highway 217 ■ Plans Underway for Future Commuter Rail Stop Downtown ■ Proximity to Fanno Creek Park and Fanno Creek Greenway Trail COMPETITIVE DISADVANTAGES/CONCERNS ■ Land Assembly for Large Development May be Difficult ■ Lack of Existing Residential Development Concentration in Downtown Tigard ■ Some Surrounding Land Uses are not Residential Friendly ■ Rail Line Noise and Traffic Congestion OCCUPANCY ■ Stable, but Slightly Soft Conditions: Our survey of Tigard rental apartments indicates occupancy of 93.0% in existing units. Typically occupancy of 95% indicates a healthy rental market, suggesting some weakness in the market. Over the past year, occupancy has been relatively stable. It is projected to edge up to 93.5% by mid-2005. RENTS ■ Concessions Market: Projects in our survey averaged rents of$705, or$0.95 per square foot. On a price per square foot basis,their rents are higher than those in surrounding areas, but this may be misleading given widespread rent concessions in Tigard. FUTURE COMPETITION • 5 Projects in Pipeline:A 32-unit affordable/mixed income project is currently under construction. Four other projects comprising 247 units are in early planning stages. DEVELOPMENT POTENTIAL ■ Short Term: Weak development potential. Apartment market conditions are poor in Tigard and throughout the metro area. May be possible market support for tax credit affordable project. ■ Long Term: Land assembly difficulties may limit substantial new development. Lack of existing residential component Downtown may be a deterrent,but could be overcome. Central housing would be complementary to planned commuter rail stop. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 14 IV. OWNERSHIP HOUSING Due to existing build-out in Downtown Tigard, the section below focuses on attached ownership housing rather than single family housing, which is not a practical development option in the area. Some information on single-family housing is provided as a reference point for overall home prices and sales activity in the City. Over the short term, we see modest support for new condominium development in Tigard, as is evident by several projects in the pipeline. Demand for housing Downtwon, will likely be more limited than in outlying areas, but that could change over time if efforts are made to attract more residential friendly development in the city center. Regional Overview Sales activity for both attached and detached product surged in the second quarter of 2004 and was up by 26.1% over activity last year. Attached sales volume was 19.5% higher than during the first quarter of 2003, while detached volume was 27% higher. The overall sales volume during the quarter was 10,843 units, of which 10.8% were attached. The market has not seen this level of sales activity for several years. With interest rates expected to rise, many buyers appear to be acting now to secure lower rates. FIGURE IV-1: SUMMARY OF PORTLAND MSA OWNERSHIP HOUSING SALES ACTIVITY Detached Attached Total 2nd Quarter-04 9,670 1173 10,843 1st Quarter-04 5,593 797 6,390 4th Quarter-03 7,064 876 7,940 3rd Quarter-03 8,870 966 9,836 2nd Quarter-03 7,616 982 8,598 1st Quarter-03 5,609 696 6,305 4th Quarter-02 6,642 816 7,458 Annual Percent Increase(Decrease) 27.0% 19.5% 26.1% Attached/ Detached Attached Detached WESTSIDE NEW $415,525 $271,922 65.4% ALL SALES $368,932 $202,505 54.9% EASTSIDE NEW $258,827 $196,796 76.0% ALL SALES $250,578 $158,862 63.4916 CLARK COUNTY NEW $323,137 $204,808 63.4% ALL SALES $219,082 $167,321 76.4916 TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 15 Prices rose significantly during the first quarter, with average pricing for new product in the Westside almost $40,000 per unit higher than reported during the first quarter of 2004. The average sales price of new detached product was $415,525 on the Westside, $323,137 in Clark County and $258,827 on the Eastside. New attached product averaged $271,922 on the Westside, $196,796 on the Eastside and $204,808 in Clark County. Units priced below $200,000 accounted for 49.2% of all activity during the first quarter, with units priced below $300,000 accounting for 78.5%. Attached housing continued to prosper as a low-price housing alternative, accounting for 29% of all sales priced below $150,000 and 41% of all sales priced below $125,000. These levels are largely consistent with trends during the first quarter of 2004. FIGURE IV-2: PORTLAND MSA OWNERSHIP HOUSING SALES ACTIVITY BY PRICE Total Sales Total Sales Price Range Detached Attached Distribution M 00..$500,000 5.3% Under $85,000 52 71 1.1% $x05,000-$499.999 ' G $85,000-$99,999 72 82 1.4% $450,000-4,999 0.8.8 $100,000-$124,999 337 163 4.6% - $125,000-$149,999 945 252 11.0% $+24.000s+","' 1.3% 1. $150,000-$174,999 1,577 160 16.0% 5+00.000-$404,Tr, $175,000-$199,999 1,509 119 15.0% $3004399 99 12 .3% $200,000-$224,999 985 64 9.7% 5350,000-$304,9x, 2.4% $225,000-$249,999 860 67 8.5% $325.0004349,9x, 3.4% $250,000-$274,999 604 50 6.0% $300,000-$304.9x, 3.5 $275,000-$299,999 516 27 5.0% $21,000-$299.9x, 5.0% $300,000-$324,999 363 20 3.5% $250,000-$20499 6.0% $325,000-$349,999 355 18 3.4% $225.000-$249.995 s.5 $350,000-$374,999 252 12 2.4% $200.000-$204,9x, 9.7% $375,000-$399,999 238 15 2.3% $va000-V9999 15. $400,000-$424,999 128 9 1.3% $50,000-W� 99, 16.0% $425,000-$449,999 137 9 1.3% $25.000-$:49.9x, 11. $450,000-$474,999 100 9 1.0% $00.00o-s�0a,9x, 46% $475,000-$499,999 87 5 0.8% $85,000499 99 7 4% $500,000#&Over 553 21 5.3% uoa..$05.000 1. Total 9,670 1,173 100% 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% Tigard Ownership Housing Trends As compared to elsewhere in the Portland metropolitan area, Tigard has a small stock of attached ownership housing and attracts a smaller share of new attached housing construction. Over the past two years, only 76 new attached units were sold in the City. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 16 FIGURE IV-3: TIGARD ATTACHED OWNERSHIP HOUSING SALES ACTIVITY Sales Volume Rate of Change SALES VOLUMES Qua;cer New Resale New Resale �0 3Q02 to 2Q04 3Q02 4 49 -83% -39% 60 ■Res Homes 4Q02 3 41 -25% -16% 50 ■New Homes IQ03 2 31 -33% -24% 2Q03 11 52 450% 68% o 3Q03 6 43 -45% -17% 4Q03 24 33 222% 12% o I Q04 14 44 -34% 1% la: 2Q04 12 60 -14% 36% ;12112 4Q02 IQ03 2Q03 3Q03 4Q03 1Q04 2Q04 In the second quarter of 2004, Tigard sales activity for new attached housing fell by 14% and rose 36% for resales. The total sales volume for the city was 72 homes, of which 60 were resales. The price for new attached homes was $231,882, approximately$40,000 below the average sales price for new attached construction throughout the metro area. Units priced below$200,000 made up 87.5% of total sales, a much higher proportion of total sales than elsewhere in the region. On a per square foot basis, new construction averaged sales of$133 and resales averaged $109. Detached sales activity is significantly healthier in Tigard. New sales and resales grew at rates of 21% and 57%, respectively, in the second quarter of 2004, exceeding overall sales growth in the greater Portland area. New attached home prices in the City average $385,913, as compared to $290,817 for resales. In contrast to attached homes, only 23% of homes sold for less than $200,000. New Construction, Planned&Proposed Development There is one new attached ownership development, Bonita Townhomes, under construction in the City of Tigard. It has 53 units and is scheduled for completion in March of 2005. Three other developments, consisting of 102 units are in preliminary planning stages. FIGURE IV-5: TIGARD APARTMENT PIPELINE FOR NEW DEVELOPMENT Number Target Property Project Project Title Primary Owner Name Primary Address of Units Completion Type Status Barrows Road Townhomes Tom Secolo 13900 SW Barrows Rd 35 NA Townhouse/Condo Planning Barrows Triangle Townhomes MGH Associates 13818 SW Barrows Rd 17 NA Townhouse/Condo Planning Bonita Townhomes Derek L.Brown&Associates 7865&7965 SW Bonita Rd 53 Mar-05 Townhouse/Condo Start Condominiums Alpha Engineering 13700 SW Hall Blvd 50 NA Townhouse/Condo Planning Ownership Housing Development Assessment Based on our review of regional and market area ownership housing trends, it is the opinion of Johnson Gardner that there is modest market support for new housing development in Tigard over the short term. In the Downtown market area, development opportunities will be limited to attached product, and opportunities will be more limited. The table below summarizes our significant findings. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 17 FIGURE IV-6: ATTACHED OWNERSHIP HOUSING DEVELOPMENT POTENTIAL & FEASIBILITY COMPETITIVE ADVANTAGES ■ Proximity to Major Arterials Including Pacific Highway, Hall Boulevard, Greenburg Road and Highway 217 ■ Plans Underway for Future Commuter Rail Stop Downtown ■ Proximity to Fanno Creek Park and Fanno Creek Greenway Trail COMPETITIVE DISADVANTAGES/CONCERNS ■ Land Assembly for Large Development May be Difficult ■ Lack of Existing Residential Development Concentration in Downtown Tigard ■ Some Surrounding Land Uses are not Residential Friendly ■ Rail Line Noise and Traffic Congestion ■ Not a Proven Market for Condominium Development SALES ACTIVITY ■ Low Sales Volume: Attached product makes up a small share of the Tigard housing stock and a proportionally small share of total home sales. Sales per quarter fluctuated between 40 and 75 homes over the last two years. SALES PRICES ■ Low Sales Prices: Nearly 90% of homes sold are below $200,000. The average price for new home sales is $233,882, or $133/per square foot. These prices are significantly lower than market area averages. FUTURE COMPETITION ■ 4 Projects in Pipeline: A 53-unit condominium development is currently under construction. Three other projects comprising 247 units are in early planning stages. DEVELOPMENT POTENTIAL ■ Short Term: Despite low interest rates and a surge in condominium development elsewhere in Tigard, the Downtown lacks a residential feel,which will likely impede new construction. ■ Long Term: Land assembly difficulties may limit substantial new development. Lack of existing residential component Downtown may be a deterrent, but could be overcome. Central housing would be complementary to planned commuter rail stop. In addition, Downtown Tigard is an unproven condominium market, which may pose an obstacle for any new attached ownership housing development. The concentration of social service providers Downtown may also limit TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 18 V. SPECULATIVE OFFICE As a result of over-building in the late 1990s and lingering effects of the recent recession, the Portland speculative office market, although improving, remains relatively weak. While market conditions in Tigard are superior to those of elsewhere in the region, occupancy and rents in the area are not high enough to warrant new development in the immediate future. Market recovery is not expected before mid-2006 at the earliest. Regional Overview The Portland metropolitan area's speculative office market reported net absorption of 372,170 square feet of office space during the second quarter of 2004, reflecting the seventh consecutive quarter of positive absorption despite lackluster economic performance. The direct vacancy rate fell slightly to 14.6% and vacancy including sublease space edged down to 17.0% The direct vacancy rate for Class-A space is estimated at 11.2%, or 14.3% with sublease space included. Direct vacancy is estimated at 17.1% and 17.3% for Class-B and Class-C space, respectively. Over the second quarter, occupancy rose in both Class-A and Class-B space, but dropped in Class-C space. Nearly 9.0 million square feet of tracked space is directly vacant, with 1.4 million square feet of space identified for sublease. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 19 FIGURE V-1: PORTLAND MSA SPECULATIVE OFFICE TRENDS, 2Q04 Speculative New Inventory Net Vacancy Vacancy Invenrory Construction Adjustments Absorption Direct Sublease Direct Total Class 25,374,319 0 -190,728 184,564 2,834,159 803,357 11.17% 14.34% Class B 23,008,727 74,250 519,991 259,650 3,932,280 545,036 17.09% 19.46% Class C 12,004,020 0 148,485 -72,044 2,078,323 45,645 17.31% 17.69% Total 60,387,066 74,250 477,748 372,170 8,844,762 1,394,038 14.65% 16.96% NET ABSORPTION AND VACANCY RATE TRENDS 2,500,000 20% 1,000,000 16% 18% 800,000 = 2,000,000 14% 1696 600,000 12% 1,500,000 1496 w 400,000 w w 12% F w 1095 F W 1,000,000 �Absorpri w 200,000 C tVac cy 10% U 8% U an a500,000 8% < d 6% 6% -200,000 0 4% -400,000 �Absorprion 4% -500,000 fVacan<y 2916 -600,000 2910 -1,000,000 1 0910 -800,000 096 v v 1999 2000 2001 2002 2003 ddddddddddddddddd YEAR While overall market conditions have been relatively stable, a number of submarkets continue to experience sustained high vacancies. These include Clark County (29.1% suburban vacancy), Sunnyside (26.3%), Oregon City/Milwaukie (20.5%), and Beaverton/Cedar Hills (22.3%). Only 101,212 square feet of new space is expected to enter the market over the next year, while demand is forecasted to grow and reach 473,400 square feet. Our demand forecasts for office space are employment driven, and as a result do not factor in the marginal impact of soft market conditions and reduced effective lease rates. During periods of relatively high vacancy, aggressive leasing tactics have the ability to generate demand through reducing the effective cost of space to tenants. While this can lead to an increase in net absorption, it is important to recognize that the impact is temporary, and does not change the underlying demand for space if priced appropriately. Our projected demand increase reflects predictions for improved economic performance in the region. Over the next year, office demand is expected to increase consistent with expectations of economic growth. Vacancy rates are projected to fall slightly to 14.0% by the end of the first quarter of 2005. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 20 Kruse Way Submarket Trends In the Kruse Way office sub-market, which includes Tigard, Kruse Way and the 217 Corridor, direct office vacancy averaged 10.71% and 13.99% with sub-lease space included in the second quarter of 2004. These rates were approximately 3% lower than those in the greater Portland metropolitan area, which is consistent with long-term regional trends. Kruse Way has become the pre-eminent office location in the Portland metropolitan area, with superb access along the 217 Corridor and proximity to residential concentrations in Multnomah and Washington Counties. Vacancy in the sub-market is consistently lower than elsewhere in the region; however, the sub-market still suffers from excess supply, like the rest of the metro area. Occupancy in Class C space, followed by Class A space was highest in the Kruse Way sub- market in the second quarter. Direct vacancy for all types of space in Tigard (6.78%) was lower than both Kruse Way (8.50%) and the Washington Square/217 Corridor (15.49%). Rents in Tigard ranged from $9.36 to$24.00, as compared to $6.43 to $28.55 in the greater sub-market. FIGURE V-2: KRUSE WAY SUBMARKET SPECULATIVE OFFICE TRENDS, 2Q04 Speculative New Inventory Net Vacancy Vacancy Inventory Construction Adjustments Absorption Direct Sublease Direct Total • Class A 3,154,147 0 -74,525 133,356 321,497 76,224 10.19% 12.61% Class B 3,391,331 0 -38,527 -8,133 405,601 158,894 11.96% 16.65% Class C 770,713 0 6,230 10,540 56,664 4,972 7.35% 8.00% Total 7,316,191 0 -106,822 135,763 783,762 240,090 10.71% 13.99% Kruse Way 2,058,313 0 28,185 44,911 174,990 42,519 8.50% 10.57% Tigard 2,361,218 0 -16,770 7,727 160,080 102,074 6.78% 11.10% Wash Sq./217 Corr. 2,896,660 0 -118,237 83,125 448,692 95,497 15.49% 18.79% Total 7,316,191 0 -106,822 135,763 783,762 240,090 10.71% 13.99% NET ABSORPTION AND VACANCY RATE TRENDS 350,000 18% 250,00016% Absorption 300,000 16% 200,000 (Vacancy 14% 250,000 14% 12% 150,000 200,000 �-. 10% F w w 150,000 10% � w� 100,000 8% Z 100,000 8% ¢ ] 50,000 d < d 6% 50,000 6% 0 4% 0 4% 50,000 [::=Absorption -50,000 -50,000 2% f Vacancy -100,000 0% -100,000 0% v 1997 1998 1999 2000 2001 2002 a a a d a a J a a YEAR QUARTER TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 21 Over the next year, sub-market conditions are projected to remain fairly stable, with vacancy edging up 0.02% to 10.73% by the second quarter of 2005. Three new office developments, comprising approximately 80,000 square feet, have been proposed in the sub-market, but current market conditions are projected to deter actual construction plans for at least a year, and likely much longer. None of these developments are in Tigard. Tigard Area Office Survey To provide additional context for speculative office conditions in the Tigard area, specifically average rental rates,Johnson Gardner gathered sample data from Co-Star Group on 53 office complexes in Tigard and neighboring regions with office concentrations. See the figure below as well as Exhibits 4.05 and 4.06 in the Appendix. FIGURE v-3: SURVEY OF SELECTED SPECULATIVE OFFICE DEVELOPMENTS CITY OF TIGARD & NEIGHBORING OFFICE CONCENTRATIONS Year Vacancy Asking Location Built Total SF Vacant SF Rate Rate Central Tigard (10 Properties) Class B 1986 119,521 76,914 64.4% $12.16 Class C 1976 42,643 7,025 16.5% $13.81 Total/Average 1984 162,164 83,939 51.8% $12.60 SW 72nd Corridor(17 Properties) Class A 1999 220,857 24,595 11.1% $20.99 Class B 1989 316,584 42,191 13.3% $17.60 Class C 1982 172,142 17,221 10.0% $16.01 Total/Average 1988 709,583 84,007 11.8% $18.27 Washington Square (14 Properties) Class A 1986 614,596 86,792 14.1% $20.43 Class B 1984 159,728 19,454 12.2% $18.48 Class C 1987 18,785 0 NA NA Total/Average 1985 793,109 106,246 13.4% $19.55 Kruse Way(12 Properties) Class A 1992 613,589 76,655 12.5% $25.80 Class B 1986 155,699 21,708 13.9% $20.22 Class C 1980 28,995 2,950 10.2% $15.99 Total/Average 1988 798,283 101,313 12.7% $24.36 Total/Average 1986 2,463,139 375,505 15.2% $20.28 TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 22 Rents in the sample average $20.28, reflecting a mixture of both gross and triple net rates. Rates in Kruse Way were the highest at $24.36 (mostly representing gross figures) and lowest in Central Tigard at $12.60 (mostly based on NNN figures). In terms of occupancy, the more comprehensive sub-market survey discussed above is probably a better indicator of market conditions. That being said, amongst the properties surveyed, overall vacancy averages 15.2%. Vacancy is lowest in the SW 72nd Corridor, followed by Kruse Way and Washington Square. Central Tigard has vacancy higher than any of these outlying areas, which may be an aberration in our sample, but more likely reflects a general preference for space in the City along the 72nd Corridor and closer to 1-5. New Construction, Planned&Proposed Development Weak office conditions continue to deter new office development throughout the Portland metropolitan area. There are no new speculative office developments under construction, or planned or proposed, in the City of Tigard. Office Development Assessment Based on our review of regional and market area speculative office trends, it is the opinion of Johnson Gardner that there is no market support for additional speculative office development in Tigard over the short term. The following figure summarizes our significant market findings: TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 23 FIGURE V-4: SPECULATIVE OFFICE DEVELOPMENT POTENTIAL & FEASIBILITY COMPETITIVE ADVANTAGES ■ Proximity to Major Arterials Including Pacific Highway, Hall Boulevard, Greenburg Road and Highway 217 ■ Plans Underway for Future Commuter Rail Stop Downtown ■ Existing Concentration of Government and Neighborhood Serving Office Tenants ■ Proximity to Large Residential Populations in Multnomah and Washington Counties COMPETITIVE DISADVANTAGES/CONCERNS ■ Lack of Downtown "Destination" and Small Existing Office Concentration ■ Relatively Small Local Residential Base to Fuel Neighborhood Office Growth ■ Limited Draw as Regional Office Location ■ Regional Office Concentrations in Beaverton and Kruse Way are Closer to Residential Concentrations and Proximate to More Amenities ■ Rail Line Noise and Traffic Congestion OCCUPANCY ■ Low, but Better than Most of Portland: Tigard speculative office vacancy averages 6.8%, and 11.1% including sub-lease space.Vacancy in the greater Portland area is significantly higher at 14.6% and 17.0%,respectively. RENTS ■ Healthy Rental Rates: Projects in our survey averaged rents of$12.80 per square foot (NNN) in Central Tigard and $18.27 (Gross) closer to I-5 along the 72"d Corridor. These rates are higher than those of many other areas in the city, but lower than in neighboring Kruse Way and Washington Square office concentrations. FUTURE COMPETITION ■ No Development in Pipeline: There are no speculative office developments under construction, or planned or proposed, in the City of Tigard. Relatively weak office market conditions region-wide constrain DEVELOPMENT POTENTIAL ■ Short Term: High occupancy in the overall Portland market will deter immediate new development, despite more favorable market conditions in Tigard. ■ Long Term: Neighborhood serving office development should keep pace with modest local population growth. Growth of a more regional office concentration is unlikely given locational constraints and proximity to existing Beaverton and Kruse Way office parks. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 24 VI. INDUSTRIAL & FLEX Like the regional office market, the industrial/flex market currently suffers from high vacancy, which is largely due to lingering affects of the recent recession. In Tigard, industrial/flex vacancy, at nearly half regional levels, is markedly better than elsewhere in the metro area. Long-term demand for industrial/flex space in the City is expected to remain strong. Regional Overview The local industrial market showed modest improvements in the second quarter of 2004, despite limited expansion in the local economy. FIGURE VI-1: PORTLAND MSA INDUSTRIAL/FLEX TRENDS, 2Q04 Speculative New Inventory Net Vacancy Vacancy Inventory Construction Adjustments Absorption Direct Sublease Direct Total • Industrial 29,179,188 111,450 333,139 346,393 3,215,323 453,917 11.02% 12.57% Flex 13,628,978 0 140,869 577,013 3,159,108 526,192 23.18% 27.04% Total 42,808,166 111,450 474,008 923,406 6,374,431 980,109 14.89% 17.18% 1111 IN-.0110 Aloha/Hillsboro 16,367,377 0 35,334 422,408 2,900,224 342,655 17.72% 19.81% Beaverton 8,219,352 0 155,660 171,514 1,344,729 200,127 16.36% 18.80% Lake Oswego 690,464 0 10,000 3,778 34,320 3,378 4.97% 5.46% Tigard 4,617,007 0 -5,809 215,675 369,484 70,850 8.00% 9.54% Tualatin/Sherwood 7,038,308 111,450 241,070 186,696 723,260 153,390 10.28% 12.46% Wilsonville 5,506,378 0 -19,847 -88,052 920,115 201,209 16.71% 20.36% Inner Southwest 369,280 0 57,600 11,386 82,299 8,500 22.29% 24.59% Total 42,808,166 111,450 474,008 923,406 6,374,431 980,109 14.89% 17.18% NET ABSORPTION AND VACANCY RATE TRENDS 1,400,000 229,o 1,000,000 - 20% Absorption 1,200,000 203" 800,000 f 18/0 Vacancy 1,000,000 18' 16% 800,000 16% 600,000 14% w w w 600,000 14916 �' w 400,000 12% w a 400,000 12% U w >^ z, c4 200,000 10% U a 200,000 101yo ¢ 8% U a ° 8% ' ° U, > 6% -200,000 or 6910 -200,000 -400,000 DAbsorpdo 4910 4% t Varanry -400,000 A.../U --2% -600,0002% 1998 1999 2000 2001 2002 2003 2004 -600,000 0% YTD d d d d d d d d d d YEAR QUARTER Net absorption was just less than 1.34 million square feet and was fairly widespread geographically in the metropolitan area. This quarter marked the fifth consecutive quarter of TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 25 positive net absorption and fourth consecutive quarter of increased occupancy. The overall occupancy rate for traditional industrial space is estimated at 15.3% direct and 16.9% with sublease space included. Rates in the flex market are 23.3% direct, and 26.9% overall. On a sub-region basis, both the Northeast and Southeast sub-markets had occupancy fall over the quarter; however, occupancy in all sub-markets remained below 20%. As with office space, the demand for industrial space is directly correlated with growth in industrial space using employment, and a rebound in this market will ultimately be directly tied to an economic rebound. The apparent strength of the market during the past year may partially reflect aggressive leasing, as well as a substantial increase in the inventory of space surveyed (over 5.6 million square feet). Based on recent employment trends, it is unlikely that the increase in occupied space is employment driven. New supply is expected to be limited due to the relatively soft market conditions, with the exception of owner occupied and turnkey deals. We are forecasting that market conditions will remain relatively constant over the next year, with a more significant improvement forecast for 2005. Westside Submarket Trends Market conditions in the Westside submarket, which includes Tigard, generally mirror those of the greater Portland metropolitan area. According to data from CoStar Group, the submarket had direct vacancy of 14.89% and vacancy of 17.18% with sub-lease space included in the second quarter of 2004. These rates were within a percent of regional vacancy rates. Conditions were markedly better within the City of Tigard where direct and sub-lease vacancy rates were 8.00% and 9.54%, respectively. In the sub-market as a whole, vacancy in flex space was over 10% higher than that of purely industrial space. Weak flex conditions can largely be attributed to continuing softness in the office market. In the Westside submarket industrial rental rents range from $0.25 to $1.08 per square foot, while flex rates range from $0.29 to $1.47 per square foot. Within Tigard quoted rents vary to lesser extent. Industrial rents run from $0.38 to $1.02 per square foot and flex rents go from $.40 to $1.13 per square foot. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 26 FIGURE VI-2: WESTSIDE SUBMARKET INDUSTRIAL/FLEX TRENDS, 2Q04 Speculative New Inventory Net Vacancy Vacancy Inventory Construction Adjustments Absorption Direct Sublease Direct Total • Industrial 29,179,188 111,450 333,139 346,393 3,215,323 453,917 11.02% 12.57% Flex 13,628,978 0 140,869 577,013 3,159,108 526,192 23.18% 27.04% Total 42,808,166 111,450 474,008 923,406 6,374,431 980,109 14.89% 17.18% Aloha/Hillsboro 16,367,377 0 35,334 422,408 2,900,224 342,655 17.72% 19.81% Beaverton 8,219,352 0 155,660 171,514 1,344,729 200,127 16.36% 18.80% Lake Oswego 690,464 0 10,000 3,778 34,320 3,378 4.97% 5.46% Tigard 4,617,007 0 -5,809 215,675 369,484 70,850 8.00% 9.54% Tualatin/Sherwood 7,038,308 111,450 241,070 186,696 723,260 153,390 10.28% 12.46% Wilsonville 5,506,378 0 -19,847 -88,052 920,115 201,209 16.71% 20.36% Inner Southwest 369,280 0 57,600 11,386 82,299 8,500 22.29% 24.59% Total 42,808,166 111,450 474,008 923,406 6,374,431 980,109 14.89% 17.18% NET ABSORPTION AND VACANCY RATE TRENDS 1,400,000 22% 1,000,000 20% Absorption 1,200,000 20% 800,000 I8% tVacancy 1,000,000 18% 16% 600,000 800,000 16% 14% W w w 600,000 14% �' w 400,000 12% t' w 400,000 12% U y. 200,000_f�l10% U d 200,000 10% 8% U d 0 8% 0 > 6% -200,000 6% -200,000 or -400,000 DAbsorprioo 4% 4% t Vacancy % -600,000 2% -400,000 2 1998 1999 2000 2001 2002 2003 2004 -600,000 0910 YTD a a d d a d d d d d YEAR QUARTER Over the coming year, Johnson Gardner predicts that direct vacancy in the sub-market will fall 0.6% to 14.29%. Demand is expected to pick up with only one new development expected to come on-line, 45,050 square feet of space at the Canyon Creek Business Park in Wilsonville. Tigard Industrial/Flex Survey To provide additional context for industrial/flex market conditions in the Tigard area, specifically average rental rates, Johnson Gardner gathered sample data from Co-Star Group on 16 industrial and flex developments in the City. See the figure below. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 27 FIGURE VI-3: SURVEY OF SELECTED TIGARD INDUSTRIAL/FLEX DEVELOPMENTS, 2Q04 Year Vacancy Lease Lease Property Name Location Improvement Type Built Total SF Vacant SF Rate Rate/SF Type Industrial Durham Hall Business Ctr,Bldg 300 16285 SW 85th Ave Industrial/Warehouse 1987 16,667 4,200 25.2% $0.75 IG* Burnham Business Park 8900 SW Burnham Rd Industrial/Warehouse 1973 130,000 2,820 2.2% $0.73 IG* Oregon Business Park I,Bldg 18 16110 SW 72nd Ave Industrial/Warehouse 1978 117,398 4,988 4.2% $0.60 NNN Oregon Business Park I,Bldg 8 16600 SW 72nd Ave Industrial/Warehouse NA 25,900 10,000 38.6% $0.58 NNN Oregon Business Park III,Bldg H 7301 SW Kahle Lane Industrial/Warehouse NA 21,000 3,375 16.1% $0.56 NNN Oregon Business Park I,Bldg 1 16120 SW 72nd Ave Industrial/Warehouse NA 40,000 5,000 12.5% $0.50 NNN Tigard Central Industrial 12700 SW Hall Blvd Industrial 1965 141,205 13,450 9.5% $0.45 IG* Oregon Business Park I,Bldg 2 16200 SW 72nd Ave Industrial/Warehouse NA 82,900 24,500 29.6% $0.38 NNN Nelson Business Center,Bldg B 14280 SW 72nd Ave Industrial NA 76,800 0 0.0% NA NA 1,870 68,333 10 65 .5% $0.56 Flex PacTrust Business Center,Bldg Q 7204 SW Durham Rd Class B Flex 1982 130,000 2,820 2.2% $1.06 NNN Bridgeport Woods Business,Bldg 1 7600 SW Bridgeport Rd Class B Flex 1989 34,000 13,007 38.3% $0.85 NNN Park 217 Business Center,Bldg 3 12150 SW Garden PI Class B Flex 1982 46,400 15,355 33.1% $0.78 NNN Park 217 Business Center,Bldg 4 12100 SW Garden PI Class B Flex 1982 27,200 3,200 11.8% $0.78 NNN Park 217 Business Center,Bldg 6 12000 SW Garden PI Class B Flex 1982 45,000 11,208 24.9% $0.78 NNN Oregon Business Park III,Bldg B 15875 SW 72nd Ave Class B Flex 1989 43,500 6,077 14.0% $0.60 NNN PacTrust Business Center,Bldg D 16165 SW 72nd Ave Class B Flex NA 25,000 0 0.0% NA NA 351,100 51,667 14.7% $0.87 Total/Average 1,002,970 120,000 12.0% $0.67 Among the developments surveyed, rents, which are predominantly reported on a triple net basis, average $0.56 per square foot for industrial space, $0.87 per square foot for flex space and $0.67 per square foot overall. In terms of occupancy, the more comprehensive Westside submarket survey discussed above is probably a better indicator of market conditions. That being said, amongst the properties surveyed, overall vacancy averages 12.0%, or 10.5% in industrial properties, and 14.7% in flex properties. New Construction, Planned&Proposed Development Two new developments have been proposed in Tigard-Bonita Industrial Park and an un- named project to be located at NE Boones Ferry Road. These projects will comprise 44,000 square feet and 24,000 square feet, respectively. Neither project has a scheduled completion date nor is expected to begin construction within the next year. Industrial/Flex Development Assessment Based on our review of regional and market area industrial/flex trends, it is the opinion of Johnson Gardner that there is limited market support for additional industrial/flex development in Tigard over the short term. The following figure summarizes our significant market findings: TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 28 FIGURE VI-4: INDUSTRIAL/FLEX DEVELOPMENT POTENTIAL & FEASIBILITY COMPETITIVE ADVANTAGES ■ Proximity to Major Regional Arterials Including Highway 217 and Interstate 5 ■ Proximity to Freight Rail Line ■ Low Profile Location Not a Deterrent to Industrial Firms ■ Large Existing Industrial Concentration COMPETITIVE DISADVANTAGES/CONCERNS ■ Further Industrial Development May Discourage Development of Other Land Uses ■ Employment Density Generated by Industrial Development is Generally Low OCCUPANCY ■ Low Vacancy Compared to Rest of Portland MSA: Tigard industrial/flex vacancy averages 8.00% (9.54%with sublease space included). Occupancy in the City is significantly higher than in RENTS ■ Rates Consistent with Elsewhere on Westside: Projects in our survey average rents of $0.67 per square foot (NNN). FUTURE COMPETITION ■ 2 Projects in Pipeline: There are two proposed industrial developments in Tigard comprising a total of 68,000 square feet. Both projects are still in preliminary planning stages and are not expected to begin construction until overall Portland market conditions improve significantly. DEVELOPMENT POTENTIAL ■ Short Term: Limited development potential. High occupancy in the overall Portland market will deter immediate new development, despite relatively favorable market conditions in Tigard. ■ Long Term: From a market perspective,Tigard will remain an attractive industrial/flex location with its superb regional access and large existing industrial concentration. From a policy perspective, additional new development may be less desirable in the interest of further diversifying local development and increasing employment density. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 29 VII. SPECULATIVE RETAIL Retail market conditions in Tigard as well as the greater Portland/Vancouver market area are relatively strong. Vacancy in the region is well below 10%, generally considered the benchmark for healthy conditions in a retail market. With continuing population growth in the region, and recovery of the local economy, market support for additional retail development is expected to remain strong in the overall metro area, including Tigard. Regional Overview The Portland metropolitan area's retail market continues to see new construction related to the entry and expansion of major retailers. The overall vacancy rate in the retail market is estimated by CoStar at 8.6%, with the highest vacancy rates seen in mixed-use and strip/specialty/urban centers. Norris Beggs & Simpson estimates overall vacancy rates at a more robust 5.0%. Vacancy remains negligible in regional and power centers, while community/neighborhood centers report a relatively healthy 6.9% rate. Retail occupancy in the region is fairly stable, down only 0.1% from the first quarter. Tenants are driving the market, as expansion by major retailers such as Lowe's, Wal Mart, Target, G.I. Joe's, Dollar Tree and major grocers fuels new development. Over the last year, there has also been an influx of national restaurants and boutique retailers into the area. Romano's Macaroni Grill and P.F. Chang's recently opened their first Portland stores and Panda Express and Zao Noodle Bar, among others, have plans for expansion in the market in 2004. Retailers such as Diesel Jeans and Adidas now have high-profile storefronts in the Pearl District while Anthropologie, West Elm, Crate & Barrel and Z Galleries are all scheduled to open their first Portland stores soon. In coming months it will be interesting to see the effect of these national retailers, and their deeper pocket, on rent rates in select areas. Several power/regional centers are planning major expansions over the next year. The Clackamas Town Center is about to undergo a major addition, adding 240,000 square feet of retail space. Washington Square has begun the first phase of a 100,000 square foot expansion that will include a four-level parking garage, 28 additional retailers, and a restaurant. The new Gateway Station will bring 120,000 square feet of retail space, mixed with office and residential space. Finally, ground broke in Tualatin for the Bridgeport Village, a 350,000 square foot lifestyle center. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 30 FIGURE VII-1: PORTLAND MSA RETAIL TRENDS, 2Q04 Speculative New Inventory Net Vacancy Inventory Construction Adjustments Absorption S.P. Rate Strip/Specialty/Urban 10,157,233 19,582 5,919,180 192,051 1,655,197 16.3% Community/Neighborhood 18,158,294 31,500 -6,038,483 -41,874 1,247,212 6.9% Mixed Use 519,149 0 519,149 85,659 169,563 32.7% Power/Regional 8,049,337 0 -452,851 -15,044 84,283 1.0% Total 36,884,013 51,082 -53,005 220,792 3,156,255 8.6% NET ABSORPTION AND VACANCY RATE TRENDS 1,800,000 10910 1,200,000 10910 1,600,000 9/ DAbsorption 9/ 0 1,0001000 f Vacancy 1,400,000 8% 8% 1,200,000 0000m� 800,000 7% W 7% W 1,000,000 F 600,000 W w6916w 6% ° 800,000 w S% U a 400,000 S% U Q 600,000 z z d 400,000 Ir 4% Q d 200,000 4916 Q 200,000 3916 - Ph, 1 3% 0 2% 0 2% -200,000 ®Absorption 1% -200,000 0 1/o f Vacancy -400,000 09/0 -400,000 09/0 1998 1999 2000 2001 2002 2003 2004 c�c�000000000000000000 YTD dddddddddddddddddddd YEAR QUARTER A total of 717,815 square feet of new space is projected to enter the market over the next twelve months, while demand is forecasted at 5552,000 square feet. As a result, the overall vacancy rate is projected to increase slightly to 8.8% over the next year. The overall vacancy rate is expected to fall to 7.7% by the first quarter of 2006. Tigard, Tualatin, Wilsonville Submarket Trends Market conditions in the Tigard, Tualatin &Wilsonville sub-market are slightly tighter than those of the greater Portland metro area. According to Norris, Beggs & Simpson, vacancy in the submarket averages 4.1% as compared to 5.0% for the entire metro area. Vacancy in Tigard (6.1%) is higher than both Washington Square (3.0%) and Tualatin/Wilsonville/Sherwood (4.5%). Similar to regional trends, occupancy is highest in power and regional centers and lowest in mixed-use developments. Vacancy in mixed use spaces generally tends to be higher because they are unanchored. Rents in the sub-market range from $4,00 to $28.000, as compared to $10.00 to $22.81 in Tigard, specifically. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 31 FIGURE VII-2: TIGARD, TUALATIN & WILSONVILLE SUBMARKET RETAIL TRENDS, 2Q04 Speculative New Inventory Net Vacancy Inventory Construction Adjustments Absorption S.F. Rate • Strip/Specialty/Urban 797,687 0 85,941 78,861 36,072 4.52% Community/Neighborhood 2,290,695 0 -240,002 -222,556 141,853 6.19% Mixed Use 46,308 0 0 8,926 6,149 13.28% Power/Regional 1,619,500 0 0 291 11,709 0.72% Total 4,754,190 0 -154,061 -134,479 195,783 4.12% BREAKOUT Tigard 1,042,170 0 15,788 21,114 63,378 6.08% Washington Square 2,301,580 0 17,352 16,132 68,616 2.98% Tual.-Wilsonville-Sherwood 1,410,440 0 -187,201 -171,725 63,789 4.52% Total 4,754,190 0 -154,061 -134,479 195,783 4.12% NET ABSORPTION AND VACANCY RATE TRENDS 150,000 791b 600,000 8 �Absorption Absorption 100,000 fVaany 6% 500,000 tVacancy 7% __5916 / 400,000 6% 50,000 300,000 5% 4% 0 200,000 4% 3% -50,000 100,000 3% 2% 0 2% -100,000 1 9/0 -100,000 - 19/0 -150,000 0yo -200,000 0910 2000 2001 2002 2003 2004 O O N N m m r YTD d d d d d d d d d Over the coming year, vacancy in the Tigard, Tualatin &Wilsonville submarket is projected to remain low, falling 0.2% to 3.9%. Vacancy in Tigard is expected to remain above other regions in the sub-market, with a modest decline from 6.1% to 5.7%. Poor exposure is largely the reason for Tigard's underperformance in the region. Although several projects are in planning stages or already under construction none are scheduled for completion over the next year,which will enable the market to keep tightening in the midst of growing demand. Tigard Speculative Retail Survey To provide additional context for the Tigard speculative retail market, Johnson Gardner gathered survey information from CoStar Group and Norris, Beggs & Simpson. The chart below summarizes occupancy and lease rate information for seventeen retail centers in the City of Tigard, the majority of which are located along Pacific Highway. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 32 FIGURE VII-3: SURVEY OF SELECTED TIGARD RETAILERS, 2Q04 Year Vacancy Asking Rate Lease Property Name Location Built Total SF Vacant SF Rate Low High Average Type Pacific Crossroads 11705 SW Pacific Hwy 1984 39,340 2,577 6.6% $19.00 $19.00 $19.00 NNN Cash&Carry 11745 SW Pacific Hwy 1995 32,380 9,772 30.2% $10.00 $10.00 $10.00 NNN Tigard Plaza Shopping Center 11945 SW Pacific Hwy 1961 117,398 4,988 4.2% $8.26 $13.73 $11.00 NNN 11975 SW Pacific Hwy 11975 SW Pacific Hwy 1936 3,288 3,288 100.0% $22.81 $22.81 $22.81 NNN Tigard Marketplace 13500 SW Pacific Hwy 1988 117,646 2,500 2.1% $22.00 $23.00 $22.50 NNN Hudson Plaza 12950 SW Pacific Hwy NA 12,750 2,250 17.6% $12.00 $12.00 $12.00 NNN Barrow's Crossing SW Rd&Walnut St 1998 120,000 1,326 1.1% $22.00 $22.00 $22.00 NNN Canterbury Square 15000 SW Pacific Hwy 1972 80,000 3,000 3.8% $11.95 $11.95 $11.95 NNN Winco Tigard Center Hwy Dartmouth Rd 1993 207,216 2,200 1.1% $15.00 $15.00 $15.00 NNN Fred Meyer Tigard 11565 SW Pacific Hwy 1965 161,200 0 0.0% $12.00 $16.00 $14.00 NNN King City Plaza 15100 SW Pacific Hwy 1972 62,072 530 0.9% $20.00 $20.00 $20.00 NNN Tigard Promenade 15660 SW Pacific Hwy 1996 106,575 0 0.0% $17.00 $19.00 $18.00 NNN Tigard Rite Aid Center 12060 SW Main 1970 71,236 0 0.0% $7.50 $7.50 $7.50 NNN Tigard Town Square 16200 SW Pacific Hwy 1988 180,875 3,842 2.1% $10.00 $10.00 $10.00 NNN Tigard Triangle Center 7765 SW Dartmouth Rd 2000 37,200 18,652 50.1% $5.80 $5.80 $5.80 NNN Willowbrook Business Park 11515 Durham Rd 1985 50,635 7,235 14.3% $12.00 $16.00 $14.00 NNN Cascade Boulevard Center 10407 SW Cascade Blvd 1997 100,300 0 0.0% NA NA NA NA Total/Average 1,500,111 62,160 4.1% $14.21 $15.24 $14.72 NNN Amongst the properties in this sample, rents averaged $14.72 per square foot (NNN). Occupancy at 4.3% was slightly lower than the Tigard rate of 6.1% estimated by the more comprehensive Tigard, Tualatin, Wilsonville sub-market survey discussed above. New Construction, Planned&Proposed Development Bridgeport Village, a new lifestyle center, recently broke ground at the intersection of Bridgeport and 72°d Avenue. While this site is technically in Tualatin, we expect it to compete directly with the Tigard market as well as Washington Square. Bridgeport Village will comprise nearly 500,000 square feet of retail space and include retailers such as Wild Oats, Regal Cinemas and P.F. Chang's Chinese Bistro. Crate & Barrel will open its first Portland are store there. In addition, Dartmouth Square, a new retail center has been proposed off of SW 70th Avenue in the Tigard Triangle. It would include four single-story stand-alone buildings totaling 23,000 square feet. This project is still in a preliminary planning stage and no additional information is available about the project at this time. Retail Development Assessment Based on our review of regional and market area speculative retail trends, it is the opinion of Johnson Gardner that there is moderate market support for additional retail development in Downtown Tigard over the short term. The following figure summarizes our significant market findings: FIGURE VII-4: SPECULATIVE RETAIL DEVELOPMENT POTENTIAL & FEASIBILITY TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 33 COMPETITIVE ADVANTAGES ■ Proximity to Major Arterials Including Pacific Highway, Hall Boulevard, Greenburg Road and Highway 217 ■ Proximity to Pacific Highway in-fill Residential Development ■ Plans Underway for Future Commuter Rail Stop Downtown ■ Strong Downtown Business Association with Active Business Retention Efforts COMPETITIVE DISADVANTAGES/CONCERNS ■ Large Number of Nearby Big Box and Strip Center Competitors as well as the Washington Square Regional Center ■ No Visibility due to Elevation of Pacific Highway ■ Lack of Downtown "Destination" to Draw Drivers off of Nearby Arterials ■ Relatively Small Residential Base and Low Employment Density ■ Rail Line Noise and Traffic Congestion OCCUPANCY ■ High Occupancy: Tigard retail occupancy averages 93.9% according to Norris, Beggs & Simpson. Typically occupancy of 90% or above indicates a healthy retail market, suggesting there may be sufficient demand to warrant new construction. Occupancy is projected to edge up to 94.3%by mid-2005. RENTS ■ Healthy Rental Rates: Projects in our survey averaged rents of$14.72 per square foot (NNN),ranging from $8.26 to $22.00 per square foot. FUTURE COMPETITION ■ 2 Projects in Pipeline: Dartmouth Square, a 32,000 square foot retail space has been proposed. Bridgeport Village, a nearly 500,000 square foot lifestyle center just broke ground in nearby Tualatin. DEVELOPMENT POTENTIAL ■ Short Term: Moderate market potential Retail market conditions throughout the Portland MSA are strong as a result of continuing in-migration and the on-going regional economic recovery ■ Long Term: The potential for regional retail downtown is limited due to poor visibility and the lack of a major"destination" to attract passerby away from other big box and strip mall competitors off of Pacific Highway. The planned commuter rail stop will provide a boost for neighborhood retailers; however, retail erowth may be constrained by only modest nodulation Growth in the area. TIGARD DOWNTOWN IMPROVEMENT PLAN--Economic Analysis Study PAGE 34 KITTELSON & ASSOCIATES, INC. TRANSPORTATION PLANNINGITRAFFIC ENGINEERING 810 SW ALDER,SUITE 700 PORTLAND,OR 97205 [503]228-5230 • FAX(503)273-8169 MEMORANDUM Date: October 27, 2004 Project#: 6759 To: Dave Siegel Parametrix From: Elizabeth Wemple, P.E.; Patrick McMahon Project: Tigard Downtown Improvement Plan Subject: FINAL Existing Conditions, Opportunities and Constraints Memo Introduction In this first phase of the Tigard Downtown Improvement Study, the project team is developing an assessment of existing facilities and opportunities and constraints for the Tigard Downtown area. With this information reviewed and confirmed, the Task Force and the consultant team will further develop project goals and objectives, and subsequently begin to develop alternative solution concepts for improving Downtown Tigard. The purpose of this transportation memorandum is to document existing transportation facilities by mode, and begin to develop an assessment of opportunities and constraints related to the transportation system in Downtown Tigard. Subsequent to Task Force review, the findings included in this draft memorandum will be updated and integrated into work activities for later phases of the project. In its final form, this memo will serve as a transportation reference tool for understanding existing facilities, and concerns related to these facilities. This memo is being prepared as deliverable 2.3 of the project contract. It is anticipated that excerpts of this memo will be integrated into the team report on Existing Conditions and Opportunities and Constraints. The transportation work documented is based on a review of material provided by the City of Tigard, our familiarity with Tigard and our walking tour conducted August 26, 2004. The analysis and findings have been conducted at a qualitative level drawing on technical findings from other work previously conducted in the area. Summary of Assessment Downtown Tigard has the potential to be a highly multi-modal area. Today, there is extensive existing transit service serving many parts of the Portland region. In addition, completion of the commuter rail will further enhance transit service to and from Downtown Tigard. Coupled with the relatively flat terrain, there is also the potential for a high degree of pedestrian and bicycle H:\projfile\6759\report\final\KAI_Existing_Conditions_Opportunities final.doc DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 2 travel, although an integrated, comprehensive and complete pedestrian and bicycle system needs to be developed as Downtown Tigard continues to improve. Traffic congestion on the boundary streets (i.e. Hall Boulevard and Oregon 99W) can influence travel within the Downtown Core; however this seems to occur on a limited basis — associated with crashes or significant congestion on the highway, or extended train delays at the railroad crossings. Pedestrian Transportation Facilities Sidewalks and the Fanno Creek Pathway form the backbone of the pedestrian system in Downtown Tigard. There are sidewalks on both sides of Main Street, Tigard Street and Commercial Street south of Main Street'. On Burnham Street, Scoffins Street and Ash Street, there are sidewalks where recent development has occurred; otherwise properties do not have sidewalks along their frontage. The lack of a continuous sidewalk network throughout the entire downtown area limits the extent to which the area is viewed as a single district and creates obstacles to users of the downtown. Opportunities for pedestrian-only connections at places where right-of-way or easements exist should be explored. Pedestrian facilities on Main Street also include a curb extension at the southwest corner of Main and Burnham Streets and a mid-block pedestrian crossing near Tigard Cycle & Ski. This pedestrian crossing has in-pavement lighting to provide enhanced safety. The crossing does not align continuously with the existing Fanno Creek Parkway. Attractions There is a desire to address the pedestrian facility crossing under Oregon99 W at the Fanno Creek Pathway and eventually to extend the trail further to the north. This is a potential pedestrian gateway into Downtown Tigard, but pedestrians comment that the current configuration feels unsafe and is unattractive. Pedestrian connectivity issues also exist between the new library and City Hall and the downtown area. The new library is located on the east side of Hall Boulevard in the vicinity of SW O'Mara Street. This issue will be a particular consideration in the future classification and design of Hall Boulevard through the project study area. Figure I shows current pedestrian facilities and opportunities and constraints. Bicycle Transportation Facilities Figure 2 shows existing and planned bicycle facilities in the Tigard Downtown Improvement Area, and the functional classification of existing and planned streets in the area. According to 'DKS Associates,Tigard Commercial Rail Traffic Study,February 2003 Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 3 the City's street design guidelines, all arterial and collector streets should include six foot striped bicycle lanes. The Fanno Creek pathway is a facility for bicycle travel to and through the project study areas. Participants on the field walk conducted in August 2004 indicated that families do bicycle on the Fanno Creek Pathway. There are no striped bicycle lanes currently in the core of Downtown Tigard. Along the boundaries of Downtown Tigard, Oregon 99W does not have bicycle lanes. Alternately signed and striped bicycle lanes do exist on SW Hall Boulevard, but the environment is not especially attractive for cyclists. As planning evolves for the project, attention should be given to providing safe bicycle connections to, from and within the study area as well as along and across Hall Boulevard and across Oregon 99W. Attractions The relatively flat terrain and currently low traffic volumes make cycling an attractive possibility within Downtown Tigard. In addition, with the existing Tri-Met Transit Center and the future Commuter Rail station, there is a possibility for cyclists to transfer from a local trip on a bicycle to a sub-regional or regional trip on the bus or commuter rail. Tigard Cycle & Ski on Main Street could be a resource to build on for cyclist education and outreach, especially given its strategic location along the Fanno Creek Greenway. It is also important to note that the Hit-N-Run Paintball on Commercial Street, the library, and the proposed skate-park at City Hall are likely to attract youth to the downtown area and adequate routes and bicycle parking should be provided at these destinations. Transit Figure 3 shows the Tri-Met bus routes that travel through Downtown Tigard and to and from the Tri-Met Transit Center located on Commercial Street. As summarized in Table 1, Tri-Met provides seven bus routes within the Downtown Improvement Plan area, with five serving the Tigard Transit Center and two running on 99W. Table 1 Summary of Downtown Tigard Transit Service Route Headways Major Destination . 15 minute headways from 5:30 a.m. to 9:00 p.m.; Portland City Center via Tigard and 12 Barbur Transit Centers-30 minute • 30 minute headways from 9:00 p.m. to Midnight trip . 23 minute headways from 5:30 a.m. to 9:00 a.m.; Portland City Center via Washington Square-45 minute trip • 60 minute headways from 9:00 a.m. to 2:00 p.m.; 45 • 35 minute headways from 2:00 p.m. to 5:30 p.m.; and • 60 minute headways from 5:30 p.m. to 8:45 p.m. . 23 minute headways from 5:45 a.m. to 7:45 a.m.; Marquam Hill via Barbur Transit 64X Center-30 minute trip • 33 minute headways from 3:30 p.m. to 5:45 p.m. returning 2IBID Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 4 Route Headways Major Destination from Marquam Hill • 30 minute headways from 6:15 a.m. to 7:15 p.m., Tualatin to Beaverton Transit Center 76 via Washington square TC-30 minute 60 minute headways from 7:15 until 10:00 p.m. or 11:00 trip to Beaverton; 25 minute trip to p.m. (depending on the direction), Tualatin • 30 minute headways from 6:00 a.m. until 7:30 p.m., Lake Oswego to Beaverton Transit Center via Tigard and Washington 78 • 60 minute headways from 7:30 until 11:30 p.m. Square Transit Center-25 minute trip to Lake Oswego, 30 minute trip to Beaverton • 11 minute headways from 6:10 a.m. to 8:00 a.m. from Express bus from Sherwood to Sherwood to Portland City Center, Portland City Center 94 • 11 minute headways from 3:30 p.m. to 6:00 p.m. Portland City Center to Sherwood • 17 minute headways from 6:20 a.m. to 7:30 a.m. from Express bus from Sherwood to Sherwood to Portland City Center, Portland City Center 95 • 30 minute headways from 4:40 p.m. to 5:40 p.m. from Portland City Center to Sherwood In the future, Commuter Rail from Wilsonville to Beaverton will also stop at the transit center. Commuter Rail will operate during the morning and evening rush hours and it is forecast that a total of 4,650 people will ride the trains daily. Plans are under development for track re- alignment, pedestrian access to and from the station and trains, and parking supply and access in Downtown Tigard. The addition of commuter rail to the existing transit mix may result in some shift of ridership from existing bus service but an analysis of the impact of this is beyond the scope of this study. With this amount of transit to and from Downtown Tigard and along the boundaries, there is an opportunity for Downtown Tigard to become a multi-modal center; however it will be important to appropriately manage parking supply so that the Downtown does not become a park and ride facility. It will also be important to develop a pedestrian and bicycle system that is comprehensive and provides safe and intuitive access to and from the Transit Center and within Downtown Tigard. Parking System City of Tigard staff and the members of the Downtown Task Force conducted a parking supply and demand survey on a typical Tuesday and Thursday during the summer of 2003. Although a number of factors have changed since the parking survey was conducted (e.g. Tigard Fitness is operational again), the City staff believes that the general survey results are still valid. The survey was conducted on both sides of Burnham, Commercial, and Main Streets. The purpose of the survey was to identify the type and location of parking and the demand for parking in downtown Tigard. Parking Supply At the time of the parking survey there were a total of 1,295 parking spaces in downtown Tigard; of those, 235 were on-street and 1,060 were off-street spaces. Among the on-street spaces, four are designated as 15-minute spaces, 54 designated as 2-hour spaces; and the rest do not have Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 5 time restrictions. The City of Tigard currently provides limited enforcement of these parking restrictions. Of the 1,060 off-street spaces, 94 are marked as restricted to patrons of individual businesses while the remaining 966 are unmarked. In the survey Main Street was divided into two parts: East Main Street, which is Main Street east of the railroad tracks toward the Rite Aid; West Main Street,which is Main Street toward the Fanno Creek Pathway On-street parking on the north side of Main Street is generally diagonal (except where space limitations between driveways allow only for parallel parking) while parking along the south side of Main Street is parallel to the curb. There are a limited number of handicapped parking spaces within the district and their location was not identified in this survey. Table 2 summarizes parking supply in downtown Tigard. Table 2 Downtown Tigard Parking Inventory On-Street Parking Supply Off-Street Parking Supply Street 15-minute 2-hour Unrestricted Restricted Unrestricted Total Main west of railroad tracks 2 15 78 19 186 300 Main east of railroad tracks 2 15 35 41 542 635 Commercial 0 21 40 26 76 163 Burnham 0 3 24 8 162 197 Total 4 54 177 94 966 1295 Parking Utilization The parking utilization results summarized in Table 3 shows the percent of occupied parking spaces during the survey hours. The utilization survey was conducted for on-street parking only. The survey was conducted from 8:00 a.m. to 10:00 a.m., 11:30 a.m. to 1:30 p.m., and 4:00 p.m. to 6:00 p.m. As shown in this table, parking utilization for each street and for the system as a whole was well below 50 percent. The highest parking utilization was during the lunch hour and the highest localized utilization levels were directly in front of restaurants during their hours of service. Table 3 Downtown Tigard Parking Utilization Street Peak Hour West Main East Main Commercial Burnham Total AM Peak Hour 32% 12% 20% 40% 26% Mid-day 42% 36% 26% 41% 36% PM Peak Hour 27% 20% 17% 21% 21% Total 34% 23% 21% 34% 28% Many members of the Task Force began the survey believing that there was a significant parking shortage in downtown Tigard, but finished believing that there were more than enough parking spaces within the downtown area. City staff also compared these results to the Urban Land Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 6 Institute's parking thresholds, which recommend that agencies should begin planning for new parking supply when utilization rates exceed 70 percent. According to this threshold, this is currently not an issue in Downtown Tigard. Parking Duration Parking duration at a single space varied significantly by location, with an average parking duration of 3.5 hours on Burnham Street, 3 hours on Commercial Street, 1.5 hours on West Main, and 0.75 hours on East Main. Also observed was the prevalence of the same vehicles in front of some businesses for several hours, suggesting that employees might be parking in spaces most desirable for customers. Commuter Rail Parking Current commuter rail plans include a stop in Downtown Tigard. This would include construction of a new 120-space parking lot over the easternmost pair of train tracks on the south side of Main Street with an access to East Main Street in the vicinity of the railroad crossing. As planning continues it will be important to review the designs for this lot and determine how this will affect circulation patterns on Main Street as well as the proposal to link Walnut Street with Ash Street on either side of the railroad tracks. Vehicle Transportation System Figure 4 shows the roadway classification system within the project study area for existing streets and the proposed connection of Walnut Street to Ash Street and north to Scoffins Street. This connection has been planned for many years. However, a major constraint to implementing this concept is obtaining approval from the ODOT Rail Division for a new railroad crossing of the Wilsonville-Beaverton Commuter Rail Line. In order to obtain an Order authorizing a new street to cross the railroad tracks, the City will need to work collaboratively with the railroad and ODOT Rail. This may include closing at least one other crossing in Tigard and likely include an effort to identify an alternative switching area to replace the existing switching area between Hall Boulevard and Main Street. The current use of the railroad tracks for switching operations has a negative impact on traffic patterns on both Hall Boulevard and Main Street, with long lines of vehicles waiting as trains block the roadway for extended periods of time. During the one-hour walking tour, trains stopped traffic on at least four occasions, with queues forming each time. Finding an alternative switching site would have benefits not just for the proposed Ash Street extension but also for general traffic flow. Figure 4 also shows the location of the traffic signals within the study area. All other intersections within the study area are controlled by stop signs or there is no traffic control. DKS Associates conducted a traffic study for the Commuter Rail project in February 2003. Based on this study there were no peak hour capacity or delay constraints on Main Street at Burnham Street, Tigard Street, or Commercial Street. However, while on the walking tour, City of Tigard staff indicated that if there is congestion on the Oregon 99W viaduct, some motorists divert to Main Street through Tigard as a short cut, which in turn causes short-term congestion Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 7 on Main Street. Staff also indicated that motorists regularly disregard the all-way stop controlled intersection at Main Street/Burnham Street. The traffic volumes and level of service results taken from the DKS study are shown in Appendix A. All of the roadways within the project study area are two lane roads with the exception of Hall Boulevard and Oregon 99W. Hall Boulevard is a two-lane road north of Burnham Street and a three-lane road south of Burnham Street. There are bike lanes on both sides of Hall Boulevard. The roadway is ODOT jurisdiction and classified as a District Highway. The posted speed limit is 30 miles per hour near 99W and 45 miles per hour near McDonald Street. The Metro Regional Transportation Plan calls for widening Hall Boulevard to a five-lane road through the project study area. A major consideration in the Hall Boulevard project should be developing a street design that accommodates all modes of transportation and provides the connectivity needed between the new Tigard library, City Hall and Downtown Tigard. Oregon 99W through the project study area is a six-lane roadway under ODOT jurisdiction. It is classified by ODOT as a Statewide Highway on the National Highway System. Planned Projects The City of Tigard Capital Improvement Program (CIP) for FY 04-09 includes the following specific projects within the project study area: • Curb extensions on Main Street at Burnham Street in front of the Main Street Car Wash (FY 04-05); • Modifying a curb return on Main Street/Commercial Street to accommodate Tri-Met buses (FY 04-05); • Hall Boulevard improvements from the Fanno Creek Bridge north to City Hall —project description forthcoming from Tigard Staff(FY 06-07); • Design, right of way acquisition, and construction of Burnham Street improvements. This is scheduled to be complete by the end of FY 08. Current plans for Burnham Street call for a three-lane cross-section; other amenities such as bike lanes, sidewalks, medians and landscaping will be identified through this process. Care has to be taken in planning to account for the Fire Station on the south end of Burnham Street; and • Design and Feasibility analysis for re-aligning the intersection of Hall Boulevard/Scoffin Street/Hunziker Street. There are other general programs in the CIP (i.e. traffic calming, striping, sidewalks and pedestrian improvements) that may become a resource project for funding within the Tigard Downtown study area. Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 8 Relevant Policies City of Tigard Transportation System Plan, Prepared by DKS Associates, January 2002 The Tigard Transportation System Plan (TSP) establishes the city's goals, policies and action strategies for developing the transportation system for the Tigard urban area. The TSP is intended to serve as a blueprint or master plan to guide transportation decisions to address both short and long term needs. The TSP discusses on-going roadway maintenance needs, and identifies improvements to enhance roadway safety, non-motorized travel (bicycles and pedestrians) and public transit service, and to accommodate future land development activity. The Tigard Transportation System Plan addresses Oregon Statewide Planning Goal 12 and the Oregon Transportation Planning Rule (TPR). Completed in January 2002, the TSP was reviewed by state and regional agencies and found to be in compliance with the TPR. A listing of those TSP policies having potential pertinence to the Tigard Downtown Improvement Plan is provided below. • Goal 1 —Livability: Plan, design and construct transportation facilities in a manner which enhances livability in Tigard • Goal 2 — Balanced Transportation System: Provide a balanced transportation syststem incorporating all modes of transportation • Goal 3 — Safety: Strive to achieve a safe transportation system by developing street standards, access management policies and speed controls when constructing streets, by making street maintenance a priority and through a comprehensive program of engineering, education and enforcement • Goals 4 — Performance: Transportation performance measures shall be set and maintained by the City. • Goal 5 — Accessibility: Develop Transportation facilities which are accessible to all members of the community and minimize out of direction travel • Goal 6— Goods Movement: Provide for efficient movement of goods and services • Goal 7— Coordination: Implement the TSP in a coordinated manner These goals, and the recommended policies supporting these goals will be taken into consideration as the Tigard Downtown Improvement Plan is developed The City of Tigard's Transportation System Plan(TSP) identifies several desired changes to the transportation system within or having the potential to impact the project study area: • A proposed extension of Ash Street from Highway 99W to Hunziker Street. • Intersection Improvements at: o Main Street/Greenburg Road/Ore 99W — Southbound right turn lane, retain westbound right urn alne when ORE99W is widened to 7 lanes; and Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 9 o Hall/Ore 99W— Southbound right turn lane, northbound left turn lane, westbound right turn overlap, retain westbound right turn lane when ORE 99W is widened to 7 lanes. • Sidewalks on both sides of Hall Boulevard, SW Hunziker Street, the proposed Ash Street extension; • Bike Lanes on the proposed Ash Street extension, Burnham Street, and Commercial Street. In addition Hall Boulevard and the Fanno Creek pathway are designated as Regional Access Bikeway, and Regional multi-use path respectively; • Provide a commuter rail station; • Provide transit amenities at major bus stops; • Improve pedestrian connections to Transit Facilities; and • Decrease headways ODOT STA and UBA Policies The 1999 Oregon Highway Plan includes a series of policies and actions related to integrating land use and transportation. Policy 1B recognizes that state highways serve as the main streets of many communities and it strives to maintain a balance between serving these main streets and the through traveler. It emphasizes management of the transportation system for safety and efficient use of resources. This policy provides guidance to ODOT regarding system management planning and implementation activities. It is designed to clarify how ODOT will work with local governments and others to link land use and transportation plans, facility and corridor plans,plan amendments, access permitting and project development. The role of ODOT and local governments in designating highway segments is to work together so that planned community development patterns are individually tailored yet also meet statewide highway needs for safety and mobility. This policy provides different roadway designations as tools for fostering compact development patterns in communities: • Special Transportation Area (STA) - A Special Transportation Area (STA) is a designated district of compact development located on a state highway within an urban growth boundary in which the need for appropriate local access outweighs the considerations of highway mobility except on designated Freight Highways where through highway mobility has greater importance. While traffic moves through an STA and automobiles may play an important role in accessing an STA, convenience of movement within an STA is focused upon pedestrian, bicycle and transit modes. STAB look like traditional "Main Streets" and are generally located on both sides of a state highway. The primary objective of an STA is to provide access to and circulation amongst community activities, businesses and residences and to accommodate pedestrian, bicycle and transit movement along and across the highway. Direct street Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 10 connections and shared on-street parking are encouraged and individual driveways are discouraged. Local auto, pedestrian, bicycle and transit movements to the area are generally as important as the through movement of traffic. Traffic speeds are slow, generally 25 miles per hour or less. • Urban Business Area (UBA) — An Urban Business Area is a highway segment designation which may vary in size and which recognizes existing areas of commercial activity or future nodes or various types of centers of commercial activity within urban growth boundaries on District, Regional or Statewide Highways where vehicular accessibility are important to continued economic viability. The dual objectives of an UBA on the state highway are to provide local access to meet the access needs of abutting properties and to maintain existing speeds to move through traffic. Speeds are generally 35 miles per hour or less. Vehicular accessibility and circulation is often as important as pedestrian, bicycle and transit accessibility. Safe and regular street connections are encouraged. Transit turnouts, sidewalks and bicycle lanes are accommodated. Further details related to STAs and UBAs are included in Appendix B. To designate a roadway segment as a STA, the community needs to adopt local plans identifying the road as such, and most importantly coordinate and develop an agreement with ODOT about the STA designation. The principal advantage of an STA is that ODOT and the local jurisdiction must work together to agree to a plan for multi-modal transportation mobility and access integrated with the surrounding land use plan on the state owned highway through a major community center. Through the project study area, Oregon 99W does not exhibit the characteristics of a STA or UBA and is likely not a candidate for either designation. Hall Boulevard through the project study area may qualify as a candidate for a STA. It is less likely that this segment qualifies as a UBA. In both cases it will be important to begin the conversation with ODOT regarding these designations. If established as an STA, the City of Tigard and ODOT would have an established plan for future roadway cross-sections and adjacent land use. The mix of acceptable roadway elements in a STA allows Tigard to plan for a narrow roadway section (e.g. lanes and medians), slower travel speeds, and wider sidewalks. Street Design Guidelines The City of Tigard, ODOT and Metro functional classifications of streets within the project study area are summarized in Table 4 below. These classifications are used to identify street design concepts according to Tigard, ODOT and Metro Guidelines. In addition, Metro guidelines indicate that the Fanno Creek Pathway as a regional trail. Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project#: 6759 September 13, 2004 Page 11 Table 4 Downtown Tigard Street Classifications Street Tigard ODOT Metro Classification Classification Classification Oregon 99W Arterial Statewide Highway Regional Boulevard Potential light rail or rapid bus Regional bus Major Arterial Main Roadway Route for Freight Regional Corridor for Cyclists Transit/Mixed Use Corridor Hall Boulevard Arterial District Highway Community Boulevard Minor Arterial Regional Corridor for Cyclists Transit/Mixed Use Corridor Burnham Street Collector None None Main Street Collector None None Commercial Street None None None Scoffins Boulevard Collector None None Ash Street(Existing Collector None None and Proposed) Table 5 shows the width of roadway characteristics identified in both sets of guidelines. As shown in this table, a major distinction between these design guidelines is the desired width of sidewalk. Metro design guidelines call for an eleven or twelve foot sidewalk. City of Tigard guidelines call for a six-foot sidewalk. This difference will significantly influence right of way requirements. Metro design guidelines also call for eleven-foot travel lanes, and Tigard guidelines call for twelve-foot travel lanes. Table 5 Street Design Guidelines Typical Widths Street Right of Way Sidewalks Planter Bike Parking Lane Median Type Requirements Strip Lane Lane Widths Widths Tigard Varies by Major Number of 6feet 6 feet 6 feet None 12 feet Varies 12 to Arterial Lanes-60 feet 14 feet to 122 feet 100 feet(or 116 Varies- 10 Metro feet, or wider Regional if double median 11 feet 7 feet 5 feet None 11 feet where left Boulevard boulevard is turns used) provided 7 feet as a Varies- 10 Metro feet, or wider Community 80 feet 12 feet 7 feet 5 feet periodic cut 11 feet where left Boulevard out in planter turns strip provided Examples of Metro regional boulevard and community boulevard street design guidelines are included in Appendix C. Tigard's street design guidelines are included in Appendix D. Kittelson &Associates, Inc. Portland, Oregon DRAFT Existing Conditions Opportunities and Constraints Project #: 6759 September 13, 2004 Page 12 Next Steps It is anticipated that as an outcome of their review and discussion of this draft existing conditions opportunities and constraints memo, the Downtown Task Force will provide feedback regarding issues identified and possible opportunities and constraints. As appropriate the feedback will be integrated into the final memo. As the project proceeds, this memo will be used as a reference source for information related to the Downtown Tigard transportation system, and as a checklist to ensure that transportation related opportunities and constraints are being integrated into concepts for improving Downtown Tigard. Kittelson &Associates, Inc. Portland, Oregon Tigard Downtown Improvement Plan October2004 2j)- - j aPFAFFLEt �� ,.wA, ����"��« _+ta-*•-- LE W IS��,, � a,� Ira`" ae • �.:Y ,�Ir.; .a �� -:� f`—'. °'_. .•`!, NACIRA _ _ }.� ��� 4LONDON I rn� O � ^`2 GFN F _ r r0.+ eGQG 7 ., Ti RO C J. MMF �a � �/L� •< <' * a,�` .."!cam L , p i\ 01, -�` A.- -00 o,� � ,fir •^ , '��'f �+�Iy�y -an,� •a.. �� 1 ih i' ',fes'' 7� :� sJ -+��• � -1 \.�,a toy • �� �_ -. w �F �. " ZC iM� :« - - - „�* 00-1 E4: gy _ • ry s_ ne y x r^Sr etRGINli s, EDGEWOOD �. � s �_ .« >3r j;..y ,s � � A. Proposed Sidewalks `j PLANNED SIDEWALKS TIGARD,OREGON Pa KITTELSON&ASSOCIATES,INC. 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ANSPORTATONPLANNING/TRAFFIC ENGINEERING Parametrix ENGINEERING.PLANNING.ENVIRONMENTAL SCIENCES 700 NE MULTNOMAH,SUITE 1000 PORTLAND,OREGON 97232-2131 T.503.233.2400 T.360.694.5070 R 503.233.4825 w .pammetrixxom M E M O R A N 0 U M Date: June 21, 2005 To: Barbara Shields, Long Range Planning Manager City of Tigard From: David M. Siegel, AICP Project Manager Subject: Evolution of the Conceptual Design Plan cc: Sonya Kazen, Associate Planner Oregon Dept. of Transportation Project Number: Project Name: Tigard Downtown Improvement Plan The purpose of this memorandum is to provide an overview of the evolution of the Conceptual Design Plan for the Tigard Downtown Improvement Plan (TDIP). A brief overview of the TDIP planning process will be followed by a brief description of the three evolutionary stages of the Conceptual Design Plan for the TDIP. The graphics for each of the three stages are attached to this document. Introduction Process In order to make the most of limited project resources and the most efficient use of Tigard's Downtown Task Force, the TDIP work plan was structured to focus on the desired outcomes expressed by the community. Rather than prepare a series of plan alternatives for analysis and review, the community agreed to use an evolutionary, iterative process. After developing a vision and principles to guide the preparation of the plan (attached), three successive versions of a conceptual plan would be developed by the consulting team, the Downtown Task Force, the public and the City: an Initial Concept; a Refined Alternative; and a Preferred Design Alternative. The public would be involved through a series of smaller- group "design dialog" meetings at which plan concepts would be discussed and opinions gathered, and two larger, interactive public events. In order to focus resources, a detailed analysis of the transportation system would be performed for the preferred alternative, and adjustments would be made if/as appropriate. A Technical Advisory Committee (TAC) comprised of representatives of various City departments (planning, parks, public works, finance), the Oregon Department of Transportation (planning, rail), the Oregon Department of Land Conservation and Development, TriMet, Washington County and Metro helped with providing information and offering comments on draft materials. Foundation Existing conditions and opportunities and constraints in the key areas of land use, transportation and the local and regional economy were analyzed in order to provide a foundation for the brainstorming of ideas. In addition, three special forums were provided to address special issues (see TDIP appendix for all forum summary notes), as follows: 1. Transportation Summit. A meeting was convened to discuss such transportation issues as safety, circulation, noise, mobility, capital improvements, the Commuter Rail project and project (Rev.02/04) Barbara Shields, Long Range Planning Manager June 21, 2005 Page 2 of 4 programming/timing. In addition, there were outstanding issues between the community's desire for additional rail crossings and conflicts with state policies regarding potential future crossings. Accordingly, participants at this meeting also discussed the potential need for, location and type of potential future rail crossings. Participants included the railroad, Tri-Met, the Oregon Department of Transportation and the City of Tigard. Discussion at this meeting clarified the difficulty of obtaining an at-grade rail crossing at Ash Avenue in downtown. 2. Role/Extension of Ash Avenue. The proposal for an Ash/Walnut Street extension and potential crossing of Fanno Creek into Downtown has been a matter of concern for the Ave Avenue neighborhood, and has been the source of much discussion through the process of developing the Transportation System Plan and the Capital Improvement Program. The first TDIP public workshop resulted in the consultant team and Task Force agreeing that the Ash/Walnut Street extension was an important component of the downtown plan. Given the previously sensitive nature of this issue, a separate community forum to specifically discuss this issue was held. The input received at this well-attended forum resulted in the removal of a motorized crossing over Fanno Creek in the concept plan. Rather, the City would conduct a study in the future to identify appropriate options for increasing access into Downtown. The design framework of the Downtown Plan would be designed so as to not preclude the potential for an extension of Ash Avenue across Fanno Creek in the future, should one be desired. 3. Deve%per Focus Group. Prior to taking the Refined Alternative to the next step in its evolution, the City, consultants and Task Force held a focus group meeting with local/regional developers and financiers to review the draft plan and its assumptions in order to get a"reality check"on it, and to ascertain its attractiveness for investment. The meeting was attended by nine representatives of local and regional developers. The chief finding from the meeting was that the conceptual plan, its assumptions and initial recommendations for catalyst projects were sound. It was agreed that housing and improving access into Downtown were two necessary plan components. A substantial amount of additional input was received that would subsequently be used to advance the plan to the next level. Products As indicated above, three iterations of the conceptual plan for Downtown Tigard were prepared during the course of this planning effort: an Initial Concept; a Refined Alternative; and a Preferred Design Alternative. These iterations had a common foundation, depicted by the Figures 1 through 4, and defined as follows: 1. The Bones (Figure 1). The existing transportation system of local roadways, state highways and the railroad constitute the"bones upon which the plan is based. The existing freight railway will be sharing the same right-of-way as the planned future Commuter Rail, a key component of the downtown environment. Key roadways upon which downtown depends are Commercial and Tigard Streets, west of Main Street and parallel to the railroad; State facility Hwy 99W, major arterial Hall Boulevard; and three important downtown collectors— Main, Scoffins and Burnham Streets. 2. Key Opportunities For Enhancement(Figure 2). The planning team next looked for opportunities for enhancing access, service and movement within the study area. These included a number of key intersections involving the"bones" mentioned above and the Fanno Creek trail. In addition, the downtown collectors and Hall Boulevard were identified as having the opportunity for significant streetscape enhancement, consistent with the desire heard through the Design Dialog and Task Force discussions for"green streets". 3. Conceptual Frame (Figure 3). Adding to the infrastructure upon which the iterations of the plan would be hung was the concept of a "green cross", with the intersection near the future Commuter Rail station. The Design Dialog and Task Force discussions clearly indicated a desire to build upon the natural features of the community, particularly Fanno Creek. Discussions turned to two questions: how best to conceptually or physically link downtown to Fanno creek, and what to do with the possibility of excess Barbara Shields, Long Range Planning Manager June 21, 2005 Page 3 of 4 railroad right-of-way transecting the study area? What key clues did this provide for an initial design concept? 4. Conceptual Organization (Figure 4). Building upon the bones, the opportunities for enhancement of existing infrastructure and the concept of the "green cross", the Task Force set about conceptually organizing future land uses to build upon what they liked that currently existed, and to take advantage of potential opportunities, such as: • The commercial potential near the intersection of Hwy 99W and Hall Boulevard • The opportunity for residential and mixed uses within walking distance of the commuter rail station • The active and passive open space opportunities afforded by Fanno Creek • Building upon the historic retail location of Main Street • Focusing office, employment and some residential uses east of Ash Avenue These four primary steps set the stage for the work of the Task Force in developing the Initial Concept plan, and in identifying "catalyst projects"...key projects that would help jump-start the process of downtown's improvement and create the climate of investment attractive to developers. The evolution of this design concept will be briefly discussed below and illustrated in accompanying Figures 5 through 7. Initial Concept The Initial Concept graphic was a "bubble diagram" illustrating initial land use and circulation concepts. Based upon identified opportunities and constraints and the initial vision and guiding principles for the TDIP, this graphic roughly suggested the following: ❖ where key transportation (vehicular and pedestrian) linkages might be needed; ❖ where potential concentrations of retail, housing and employment uses might be generally located; and ❖ where opportunities existed for improving the overall access to and potential use of Fanno Creek. This graphic is attached to this memorandum as Figure 5. Refined Alternative Informed by the Design Dialog smaller-group meetings (mentioned above, and described in the appendices to this plan) and Task Force work sessions, the work associated with the Refined Design Alternative took the initial concept quite a bit further through three main concepts: Great Ideas The consulting team took the suggestions and comments received from the public and the Task Force and synthesized them into "Great Ideas"that would later be fleshed out into key"catalyst projects", projects that would create a climate for investment and stimulate development(attached to this memorandum). Districts The Refined Design Alternative organized the downtown into "districts": multiple-block"mini- neighborhoods"which people can go mentally inside of, and which have some common identifying characteristics or association. This step helped the Task Force and the community understand and further develop the relationship of various land uses to the others, and to provide additional guidance on connections and compatibility. Development Feasibility The Refined Design Alternative illustrated how potential development types could be situated within the various districts. These prototypical, fictional building footprints were meant only to show possibilities, and did not take property ownerships and most existing buildings into account. This spatial/graphic organization of development types helped to convey a sense of or one scenario (of infinitely many)for Barbara Shields, Long Range Planning Manager June 21, 2005 Page 4 of 4 how development could populate the districts downtown. Now that it was known that"it could be done", attention could turn to the identification of catalyst projects and further refinement of outstanding issues. The graphic depicting the Refined Design Alternative is attached to this memorandum as Figure 6. Preferred Design Alternative The Preferred Design Alternative took the prototypical development"footprints"off the map, indicating instead the general location of development types. In addition, the Preferred Design Alternative reflected changes due to the Task Force's consideration of the extensive public comment received. The most noticeable of these concerns Ash Avenue. A proposed extension of Ash Avenue across Fanno Creek into Downtown was removed, as was a proposed at-grade crossing of the railroad tracks. Should a need be identified in the future for these, the configuration of the plan would not preclude it. A Fanno Creek overlook and a pedestrian bridge linking the neighborhood east of the creek have taken their place. The general location of a possible performing arts and/or community recreation center was adjusted to provide some additional distance from emergency services facilities (primarily for siren noise considerations). In addition, key intersections/access points to Downtown were highlighted to reflect their special role and potential location for future gateway improvements. Finally, the Fanno Creek"public area"was presented in a more generalized manner, reflecting that no firm decisions were to be made at this time with regard to the specific uses and design considerations for this space, be it active, passive, or some combination thereof. As referred to above, the organizational concept of"Great Ideas" resulted in the generation of eight, key "catalyst projects", those that would create a climate for investment and stimulate development. The locations of these catalyst projects are identified on the Preferred Design Alternative graphic, attached to this memorandum as Figure 7. Summary As mentioned earlier in this memorandum, rather than prepare a series of plan alternatives for analysis and review, the community agreed to use an evolutionary, iterative process. Three successive versions of a conceptual plan were developed by the consulting team, the Downtown Task Force, the public and the City: an Initial Concept; a Refined Alternative; and a Preferred Design Alternative. In order to focus resources, the Preferred Design Alternative was then evaluated with regard to the projected land use and potential population, and then modeled to ascertain the impact the concept plan would have upon the transportation system within the City's adopted Transportation System Plan. Two reports, the Future Transportation System Technical Memorandum and the Future Land Use and Regulatory Environment Technical Memorandum are provided in the appendices to the TDIP. The first addresses the transportation improvements needed to accommodate the TDIP. The second provides a review of the City's comprehensive plan, zoning map and implementing codes and standards, recommending changes as appropriate in order to carry out the TDIP. A final Technical Memorandum provides an incremental implementation strategy for undertaking the actions recommended for carrying out the plan. KITTELSON & ASSOCIATES, INC. TRANSPORTATION PLANNING/TRAFFIC ENGINEERING 810 SW ALDER,SUITE 700 - PORTLAND,OR 97205 - [503]228-5230 • FAX(503)273-8169 TECHNICAL MEMORANDUM Future Transportation System Analysis and Recommendations June 30, 2005 Project# 6759 To: Tigard Downtown Improvement Plan Task Force From: Elizabeth Wemple, P.E. cc: Dave Siegel, Parametrix Introduction This final transportation memo for the Tigard Downtown Improvement Plan (TDIP) provides a summary of the transportation analysis conducted on the Preferred Design Alternative and of the project recommendations assuming implementation of the currently Preferred Design Alternative. This technical memorandum will be an appendix to the final plan document. As such it has been written without significant plan context or explanation. Specifically, the purpose of this memorandum is to document the: o Future conditions travel demand model analysis; and o Future transportation system recommendations including: o Downtown street functional classification o Compliance with Metro Policies o Compliance with Oregon Department of Transportation Policies o City of Tigard Transportation System Plan(TSP)Amendments; and o Transportation Public Improvements. This memo is organized according to the above bullet list. C:\Documents and Settings\denver\My Documents\TDIM-Future Transp System\7 4 05 Revised Transportation Memo.doc Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 2 Future Conditions Travel Demand Model Analysis Network and Land Use Assumptions Washington County staff provided travel forecasts for the project based on the year 2000 Adopted Metro Regional Transportation Plan emme/2 travel demand model. As shown in Table 1, the Washington County model is based on a different projection of employees and households than has been applied in the TDIP project. Table 1 Land Use Assumptions Washington County TDIP Land Use Type Year 2000 Base Year202O Year2025 Households 450 466 2242 Retail Jobs 1270 2065 1384 Other Jobs 2457 3200 3668 To address the difference between the two data sources, the following facts and assumptions were applied to the model: o The 2000 Regional Transportation Plan (RTP) regional travel demand model has a forecast year of 2020. The trip table developed for this forecast year was factored to 2025 using a growth rate for the purposes of comparison to the TDIP Preferred Design Alternative and plan; o The regional transportation network included in the 2000 RTP travel demand model was applied to this analysis. As part of the development of the 2025 forecasts, there were also minor network changes applied in downtown Tigard. These are: o Commercial Street and Scoffins Street were added to the transportation network as collector streets o The analysis was conducted with and without Ash Avenue connecting from Walnut Street to Hunziker Street. o The majority of Downtown Tigard is within one Transportation Analysis Zone (TAZ), and a small portion of Downtown Tigard is within a second TAZ. The household and employment numbers were for these TAZs were modified to reflect the Preferred Design Alternative; household and employment assumptions were not changed for any other TAZ in the model. o The City's adopted TSP has a forecast year of 2015. For the purposes of comparing the results of the 2025 modeling to the adopted TSP, a growth factor was developed from the baseline (1994) and future (2015) traffic volumes in the TSP. The growth factor was then applied to the 2015 TSP forecasts to estimate 2025 traffic volumes according to the adopted TSP. Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 3 Scenarios Analyzed The travel demand modeling analysis was conducted to respond to three questions: 1) Does the Preferred Design Alternative for the TDIP cause significant negative traffic volume impacts to the regional facilities of Hall Boulevard, Greenburg Road, Walnut Street, Hunziker Street, or OR 99W? 2) Does the Preferred Design Alternative for the TDIP necessitate changes to street classifications given to Burnham Street, Commercial Street, or Scoffins Street in the City of Tigard's adopted TSP? 3) What are the forecast volume-to-capacity ratios assuming implementation of the TDIP? Therefore the following scenarios were analyzed: o Year 2000 baseline conditions assuming the regionally adopted RTP land uses and transportation network. o Year 2025 future conditions assuming the regionally adopted RTP land uses and transportation network Year 2025 without Ash Avenue. o Year 2025 future conditions assuming the regionally adopted RTP land uses and transportation network Year 2025 with Ash Avenue. o Year 2025 future conditions assuming the regionally adopted RTP land uses and the TDIP land uses and transportation network without Ash Avenue. o Year 2025 future conditions assuming the regionally adopted RTP land uses and the TDIP land uses and transportation network with Ash Avenue. This analysis includes the transportation conditions with and without Ash Avenue to provide information to the City of Tigard for future consideration and projects. The TDIP does not include the proposed Ash Avenue connection to Walnut Street as a requirement; nor does it preclude Ash Avenue from being constructed in the future, should the City pursue this. Results Regional Facility Impacts Table 2 provides a comparison of forecast 2025 traffic volumes on the regional roadways in the study area under the 2000 RTP and the Preferred Design Alternative. As shown, with implementation of the TDIP there is no significant change in p.m. peak hour traffic volumes on the surrounding regional streets when compared to the 2000 RTP. Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Trak Analysis Project#: 6759 June 30, 2005 Page 4 Table 2 Downtown Tigard Improvement Plan Screenline Analysis WITHOUT Ash Avenue 2000 RTP 2025 Direction (forecast to Preferred Road 2025) Design Alternative Northbound 1050 985 Greenburg Road(north Southbound 995 1015 of Hwy 99W) Total 2045 2000 Northbound 625 665 Walnut Street(north of Southbound 740 770 Hwy 99W) Total 1365 1435 Westbound 2660 2645 Hwy 99W Eastbound 2045 2075 (west of Walnut Street) Total 4705 4720 Northbound 550 610 Hall Blvd. (south of Burnham Southbound 1065 1040 Street) Total 1615 1650 Northbound 525 540 Hunziker Street(east of Southbound 345 335 Burnham Street) Total 870 875 Westbound 1995 2415 Highway 99W Eastbound 2310 1825 (east of Hall Blvd) Total 4305 4240 Northbound 645 620 Hall Boulevard(north of Southbound 605 630 Hwy.99W) Total 1255 1250 The City of Tigard's currently adopted TSP forecasts traffic volumes to the year 2015. A growth factor was developed from the adopted TSP data (i.e. 1994 counts and 2015 forecast volumes) to extrapolate the adopted TSP volumes to a 2025 forecast. The adopted TSP also includes the Ash Avenue Extension. A comparison of the extrapolated TSP volumes and the Preferred Design Alternative volumes with Ash Avenue is shown in Table 3. Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Trak Analysis Project#: 6759 June 30, 2005 Page 5 Table 3 Downtown Tigard Improvement Plan Screenline Analysis With Ash 2015 2025 2025 Adopted Adopted Preferred Direction TSP TSP with Design Road Growth Alternative Factor Northbound 575 580 985 Greenburg Road(north Southbound 800 875 1015 of Hwy 99W) Total 1375 1425 2000 Northbound 835 865 665 Walnut Street(north of Southbound 700 715 770 Hwy 99W) Total 1535 1580 1435 Westbound 1945 1955 2645 Hwy 99W Eastbound 1350 1355 2075 (west of Walnut Street) Total 3295 3310 4720 Northbound 810 820 610 Hall Blvd. (south of Burnham Southbound 700 700 1040 Street) Total 1510 1520 1650 Northbound 545 550 540 Hunziker Street(east of Southbound 420 445 335 Burnham Street) Total 965 995 875 Westbound 2805 2860 2415 Highway 99W Eastbound 2265 2300 1825 (east of Hall Blvd). Total 5070 5160 4240 Northbound 840 860 620 Hall Boulevard(north of Southbound 840 860 630 Hwy.99 W) Total 1680 1620 1250 In summary, the most significant differences in traffic volumes occur on Greenburg Road north of Highway 99W, and on Highway 99W east of Hall Boulevard and west of Walnut Street. These are shown in italics above. In the case of Greenburg Road the difference in forecast traffic is likely due to the difference in the level of detail between the Tigard TSP model and the regional RTP model. The TSP model contains more roadways and TAZs in the vicinity of downtown Tigard than does the regional model. Even with the higher projected volumes in the TDIP on Greenburg Road, the functional classification and number of travel lanes identified in the TSP still pertain. On Highway 99W west of Walnut Street, the TDIP volumes are higher than predicted by the TSP; in contrast east of Hall Boulevard the TDIP forecast traffic volumes are lower than predicted by the TSP. Again, this distinction may be due to the more detailed model developed in the TSP. Nonetheless, the traffic volumes forecast through the TDIP modeling effort can still Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 6 be accommodated within the three travel lanes per direction cross-section for Highway 99W that is identified in the City's TSP. Therefore, the Preferred Design Alternative does not cause impacts to the surrounding transportation system that cannot be accommodated by improvements already identified in the adopted TSP. Collector Street Impacts The modeling effort conducted for the Tigard TSP included Burnham Street, but not Scoffins or Commercial Street. To estimate 2025 traffic volumes on Burnham Street under the adopted TSP scenario, a growth factor was applied to the 2015 forecast volumes. With the growth factor for the TSP, Burnham Street would carry approximately 615 vehicles (in both directions) in the 2025 p.m. peak hour. Under the TDIP, it is estimated that Burnham Street will carry approximately 675 vehicles (in both directions) during the weekday p.m. peak hour. Both sets of data are consistent with Burnham's classification as a collector street. The RTP and TDIP forecasts on Commercial Street, Scoffins Street, and Burnham Street are very similar and consistent with their classifications as collector streets. For this reason, no modifications to the TSP functional classifications are needed. Link Level Capacity Analysis Table 4 provides a comparison of forecast volume to capacity ratios on key regional links within the study area. As shown in this table, assuming implementation of the TDIP Preferred Design Alternative, the volume-to-capacity ratios on the key links remain essentially the same as the forecast p.m. peak hour volume to capacity ratios assuming the adopted regional land use plan. Again the TDIP Preferred Design Alternative is not forecast to have significant impacts on the surrounding street system. Table 4 Downtown Tigard Improvement Plan Volume to Capacity Analysis 2000 RTP Forecast to 2025 2025TDIP Preferred Design Conditions Alternative Volume-to- Volume-to- Volume-to- Volume-to- Capacity Capacity Ratios Capacity Capacity Road Direction Ratios Ratios Ratios with Ash without Ash with Ash without Ash Greenburg Road Northbound 0.58 0.58 0.55 0.56 (north of Hwy 99W) Southbound 0.55 0.53 0.56 0.56 Walnut Street(north Northbound 0.52 0.54 0.55 0.56 of Hwy 99W) Southbound 0.62 0.65 0.64 0.65 Hwy 99W Westbound 1.27 1.25 1.26 1.24 (west of Walnut Street) Eastbound 0.97 0.97 0.99 0.98 Hall Blvd. Northbound 0.31 0.29 0.34 0.34 (south of Burnham Street) Southbound 0.59 0.59 0.58 0.58 Hunziker Street(east Northbound 0.75 0.75 0.77 0.77 Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Trak Analysis Project#: 6759 June 30, 2005 Page 7 Table 4 Downtown Tigard Improvement Plan Volume to Capacity Analysis 2000 RTP Forecast to 2025 2025 TDIP Preferred Design Conditions Alternative Volume-to- Volume-to- Volume-to- Volume-to- Capacity Capacity Ratios Capacity Capacity Road Direction Ratios Ratios Ratios with Ash without Ash with Ash without Ash of Burnham Street) Southbound 0.49 0.49 0.48 0.48 Highway 99W Westbound 0.98 0.98 1.01 1.00 (east of Hall Blvd.) Eastbound 0.77 0.77 0.76 0.76 Hall Boulevard(north Northbound 0.36 0.36 0.35 0.35 of Hwy. 99W) Southbound 0.34 0.34 0.35 0.34 Future Transportation System Recommendations Functional Classification It is recommended that with the exception of Hall Boulevard and Hwy 99W, the proposed TDIP include the following functional street classification system (See Table 5). This is consistent with Metro guidelines for Town Centers and the adopted TSP. Figures 1-3 shows examples of these street designs. Table 5 Proposed Downtown Functional Classification Street From To Classification Median Type Main Street Hwy 99W Hwy 99W Collector Street Landscaped with specific Left-Turn Pockets Burnham Street Main Street Ash Avenue Collector Street Landscaped with specific Left-Turn Pockets Burnham Street Ash Avenue Hall Boulevard Collector Street Two-way-left-turn-lane Commercial Street Main Street Hall Boulevard Collector Street Landscaped with specific Left-Turn Pockets Scoffins Street Main Street Hall Boulevard Collector Street Two-way-left-turn-lane Ash Avenue Scoffins Street Commercial Local Street—with ROW Street to Collector Street Ash Avenue Railroad Tracks Fanno View Local Street—with ROW Point to Collector Street Table 6 shows the ODOT, Tigard and Metro classifications for Highway 99W and Hall Boulevard. Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 8 Table 6 Hall Boulevard and Highway 99W Functional Classification Street ODOT Classification Tigard Metro Classification Classification Oregon 99W Statewide Highway Arterial Regional Boulevard Potential light rail or rapid bus Regional bus Major Arterial Main Roadway Route for Freight Regional Corridor for Cyclists Transit/Mixed Use Corridor Hall Boulevard District Highway Arterial Community Boulevard Minor Arterial Regional Corridor for Cyclists Transit/Mixed Use Corridor Hall Boulevard and Highway 99W are under ODOT jurisdiction and therefore, unless design exceptions are received, must be designed according to ODOT Highway Design Manual standards. Table 7 summarizes these standards for major street cross-sectional features. Table 7 also shows these standards according to the City of Tigard TSP and Metro Street design guidelines. As shown in this table, there are differences among the design standards. As the City of Tigard moves forward with planning projects for Hall Boulevard or Highway 99W, it is recommended that the City of Tigard work with ODOT to resolve design distinctions. As appropriate, Tigard may have to acquire design exceptions from ODOT for specific elements. Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 9 Table 7 Design Features for Highway 99W and Hall Boulevard ODOT Highway Design City of Tigard TSP Metro Street Design Guidelines Manual Sidewalks 6 feet 10 feet 12 feet Can be exceeded without design exception Planter Strip None required; if provided 5 feet Included in above sidewalk width should be 4 to 8 feet Shoulder 6 feet None None Combined shoulder/bike lane Parking None None 7 feet Combined with street tree wells Bike Lane None—combined with 5 to 6 feet 5 feet shoulder Lane Width 12 feet 12 feet 11 feet Median 15 or 16 feet depending 12 feet 10 feet Width/TWLTL on design speed Street Trees A design exception is Yes Yes required for street trees on urban streets with a design speed greater than 35 miles per hour. Compliance with Metro Policies Table 1.3 of the 2004 adopted Metro Regional Transportation Plan shows alternative mode percentages that have been established as goals for cities and counties to work toward as they implement the 2040 Growth Concept at the local level. In Town Centers the adopted goal is that 45-55-percent of trips to, from and within the Town Center be made by non-single occupant vehicle modes of transportation. To begin to work toward these goals, the City should consider the options outlined below. For cyclists: o To build momentum for the TDIP, prioritize constructing bike lanes on collector streets in Downtown Tigard. Integrate this with projects to improve non-motorized access to Downtown. Bike lanes could be painted with different colors to accentuate critical areas (e.g. known points of conflict between vehicles and cyclists, school area). o Plan city bike routes to focus crossings of major streets (e.g. Hall Boulevard or Highway 99W) at signalized intersections with sufficient signal time available for cyclists to cross the street. Consider providing additional traffic signal equipment such as loop detectors for cyclists or bicycle crossing signal call buttons. If the volume of cyclists crossing these roadways grows sufficiently, consider providing a"bike-box"to provide cyclists an advantage when crossing the street. o Provide covered bicycle lockers or racks in strategic places in Downtown(e.g. commuter rail station, bike store, popular retail, restaurant or coffee areas, future performing arts center, or the post office). Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 10 o Revise development code to integrate end-of-trip facilities (e.g. bicycle parking, shower, and/or locker rooms) into new commercial/retail developments. o In collaboration with bike shops in Tigard, develop public education campaigns providing information about cycling in Tigard and specifically cycling to, from and within Downtown. For pedestrians: o To build momentum for the TDIP, prioritize constructing sidewalks on streets in Downtown Tigard. Integrate this with projects to improve non-motorized access to Downtown. Provide a comprehensive system of sidewalks to, from and within Downtown; o Plan pedestrian routes to ensure that pedestrian crossings of major streets occur at signalized intersections with sufficient signal time for pedestrians to cross the street; o Provide streetscape treatments such as landscaping, pedestrian scale lighting, and street furniture to make pedestrians feel secure as they are walking in Downtown; o Plan for pedestrian activity in new parking areas. o Plan traffic calming devices such as curb extensions or chokers to enhance pedestrian environment but not detract from the cycling environment. For transit users: o Work with Tri-Met to provide adequate pre or post-transit trip facilities (e.g. shelter, bike storage, and parking)to simplify and facilitate the transit trip. o Encourage development in the vicinity of the commuter rail station that provides services commuter's desire at the beginning or end of their transit trip. Parking Under current conditions there is ample parking supply in downtown Tigard, and no apparent issues related to parking demand and/or management. In the near future commuter rail will begin operation that will include a station in downtown Tigard. A parking lot is planned for commuter rail passengers. As commuter rail operations and redevelopment in Downtown begins, it will be important for City of Tigard staff to monitor parking supply, demand and utilization in the Downtown area. Staff will want to monitor parking demand to ensure that short-term and long-term parking is available to residents, employees and patrons of Downtown as well as commuter rail passengers. Under most circumstances in Downtowns, on-street parking is considered full when peak hour parking utilization exceeds 85-percent. Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 11 In the event that on-street parking utilization begins to increase, the City of Tigard should have parking management policies in place to manage the demand and possibly provide additional parking supply. While a detailed parking supply, demand and utilization analysis will be required to establish these policies, possible parking management strategies include: • Integrating parking management considerations with multi-modal access plans for Downtown to encourage and enhance non-auto travel. • Initiating and enforcing different parking duration limits in different areas of Downtown; • Initiating shared parking policies (this complements shared access policies); • Initiating area parking permit programs; • Working with property owners to make private parking available to the public; and finally • A very long-term possibility, develop a city owned parking area. Compliance with ODOT Policies Access Management Hall Boulevard and Highway 99W are under the jurisdiction of ODOT. The TDIP does not call for any additional access points to either of these streets. However,the development of the TDIP would add a fourth leg to the intersection of Garden Place/Hall Boulevard. Depending on the magnitude of development that occurs in this part of downtown Tigard, a traffic signal may become warranted at this location. If so, both ODOT Access Management Policies, and ODOT Signal Policy (outlined in OAD734-020-430 through 490) should be evaluated. Within downtown Tigard all of the streets are under the jurisdiction of Tigard; thus ODOT access management policies do not apply. However, the City of Tigard should pursue shared access arrangements with developers and property owners as new development occurs. This will ultimately minimize the number of access points to the City's Downtown collector system; therefore preserving and enhancing the long term mobility and safety of the streets. In addition this complements shared parking policies to minimize the amount of space devoted to parking supply. Transportation Planning Rule Recent modifications to the Oregon Transportation Planning Rule require that "where an amendment to a functional plan, an acknowledged comprehensive plan, or a land use regulation would significantly affect an existing or planned transportation facility, the local government shall put in place measures as provided in section(2) of this rule to assure that allowed land uses are consistent with the identified function, capacity, and performance standards (e.g. level of service, volume to capacity ratio, etc) of the facility." The modifications to the rule also explain that a land use plan or regulation significantly affects a facility if it would: Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 12 o "Change the functional classification of an existing or planned transportation facility; o Change standards implementing a functional classification; o Allow land uses or levels of development that would result in types or levels of travel or access that are inconsistent with the functional classification of an existing or planned facility; o Reduce the performance of an existing or planned facility below the minimum acceptable performance standard identified in the TSP or comprehensive plan; or o Worsen the performance of an existing or planned transportation facility that is otherwise projected to perform below the minimum acceptable performance standard identified in the TSP or comprehensive plan." As shown in Tables 2 and 3, the Preferred Design Alternative will not significantly affect the transportation system in the vicinity of downtown Tigard. Therefore, the TDIP Preferred Design Alternative densities are consistent with the findings of previous transportation analyses and the currently adopted TSP remains applicable. Special Transportation Area and Urban Business Area Early in the project both Highway 99W and Hall Boulevard were evaluated in the context of ODOT Special Transportation Area (STA) and Urban Business Area (UBA) policies contained in the Oregon Highway Plan. The analysis revealed that neither Highway 99W nor Hall Boulevard qualifies as an STA or UBA, and that the TDIP does not change this conclusion. Transportation System Plan Amendments The TDIP Preferred Design Alternative does not include extending Ash Avenue from Walnut Street to Hall Boulevard as called for in the City's adopted TSP. The TDIP project included much discussion about the Ash Avenue extension from Walnut Street to Downtown. The main themes of these discussions were: o Many residents of Ash Avenue south of Fanno Creek do not want to see Ash Avenue extended from Walnut Street to Downtown. They are concerned about increases in traffic volumes and safety for their children in their neighborhood. o Business owners and residents along what has been shown as a conceptual alignment for Ash Avenue extension from Walnut Street to Downtown are concerned about the implications to their businesses and residences. o Citizens were concerned about the environmental impacts of a new bridge across Fanno Creek. o Potential developers of downtown Tigard did not see an Ash Avenue connection from Walnut Street to Downtown Tigard as mandatory for successful re-development in downtown Tigard. Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 13 o ODOT and Portland & Western Railroad indicated that an Ash Avenue at-grade crossing of the railroad tracks in downtown Tigard would be very difficult to achieve. At a minimum one other at-grade crossing and preferably two at-grade crossings would need to be closed in order to open a new Ash Avenue at-grade crossing of the railroad tracks. Because consensus about extending Ash Avenue from Walnut Street at Highway 99W to Hunziker Street was not achieved during this project, the TDIP plan was developed without including the Ash Avenue as a roadway connection from Walnut Street to Downtown Tigard. The Preferred Design Alternative however, does not preclude Ash Avenue from being constructed in its entirety as in the adopted TSP or in segments. Therefore, the proposed Ash Avenue connection does not need to be modified in the TSP. Overall, the currently adopted TSP will accommodate the TDIP Preferred Design Alternative without any significant impacts to the regional or local transportation system in the study area. There are no modifications recommended as part of this plan. Public Improvements As the TDIP is implemented, in addition to the continuous planning that will occur to achieve the community vision, the following specific projects should be considered. o Near-Term o Continue implementing the plans and policies in the adopted TSP. o Achieve consensus on the Ash Avenue extension from Walnut to Downtown Tigard. This is clearly a difficult issue for all stakeholders in downtown Tigard and vicinity. Extending the street from Walnut to Downtown Tigard is included in the adopted TSP; however some stakeholders would prefer that the street not be constructed. To address these discrepancies, the City of Tigard plans to conduct a corridor alternatives analysis for Ash Avenue. As part of this project, it is recommended that the City conduct a public consensus-building program to evaluate whether or not the community at large would benefit from and prefer that Ash Avenue be connected from Walnut Avenue to downtown Tigard. An element of this project would be a detailed assessment of the travel demand to, from and within Downtown and intersection operations within Downtown with and without Ash Avenue. It is further recommended that a sub-area travel demand model be developed to support this process. The transportation component of such a study could cost $50,000 to $100,000. o Review City Pedestrian and Bicycle Plans. Staff should review current City pedestrian and bicycle planning efforts to ensure that these support simple and feasible access to, from and within downtown Tigard. Modify plan as necessary. o Explore design requirements for "Green Street" street treatments. The TDIP calls for integrating Fanno Creek back into downtown Tigard. As part of this, Tigard should explore developing design guidelines for green-street street treatments. It may be possible to integrate green-street concepts into traffic Kittelson &Associates, Inc. Portland, Oregon Forecast Land Use Traffic Analysis Project#: 6759 June 30, 2005 Page 14 calming treatments, intersection control, drainage, and parking areas. Initially, City of Tigard Staff could work with City of Portland Staff to evaluate successes and failures in Portland. o Hall Boulevard and Highway 99W Cross-Sections. As the City of Tigard begins additional planning work related to Highway 99W and Hall Boulevard, work with ODOT as early as possible to refine and define cross-sectional preferences and requirements for these streets. o Street Design Guidelines. The City of Tigard Staff should participate as needed in work with ODOT and Metro Staff to develop Highway Design Manual street design guidelines blending features of both ODOT and Metro Street design requirements. o Long-Term o Develop and implement a parking management plan that ensures adequate short- term and long-term parking supply for residents, employees and patrons of Downtown. Depending on the amount of data collection, public involvement, analysis, and code modification this could cost $40,000 to $75,000. This is not necessary until Downtown begins to grow and parking utilization increases. Such a parking study should be conducted prior to constructing any structured parking. o The results of the Ash Avenue evaluation and Downtown access study will provide information about short-term and long-term transportation needs within Downtown. Begin implementing these measures as identified in the evaluation. o It is desirable that within Downtown Tigard, that a new at-grade crossing of the railroad tracks be developed along the Ash Avenue alignment. City of Tigard Staff should continue to work with Portland & Western Railroad and the ODOT Rail Division to identify options for achieving this crossing. Current policy states that to open new at-grade crossings at least one and preferably two at-grade crossings need to be closed or grade-separated. Options for closing or grade- separating at-grade crossings do exist in Tigard (e.g. Hall Boulevard, North Dakota, Tiedeman); however, significant local and regional planning efforts and engineering and constructions costs would be required to achieve consensus about these projects. Kittelson &Associates, Inc. Portland, Oregon 2 Q "1 O 0 60 g a y � z 5 ps �y O TD c "a m my �n � ray.• Ry+� �\� 'y �J' h yL $ V 7 14' 6'-8' 6' 8' 4'-6' 11' CENTER 11' 4'-6' 8' 6' 6'-8' SIDE- PLANTING PARKING BIKE TRAVEL TURN LANE/ TRAVEL BIKE PARKING PLANTING SIDE- WALK STRIP LANE LANE LANE MEDIAN LANE LANE LANE STRIP WALK 84'-92' L c m N Downtown Collector -- Option A Recommended Functional Classification h Ap roj f i l e\6759\cd rf i t es\j u n e_2005\6759 f 002.cd r 2 Q "1 O 0 60 g a y � z 5 ps �y O TD c "a m my 14' 6'-8' 6' 8' 11' CENTER 11' 8' 6' 61.81 SIDE- PLANTING PARKING TRAVEL TURN LANE/ TRAVEL PARKING PLANTING SIDE- WALK STRIP LANE LANE MEDIAN LANE LANE STRIP WALK 76'-80' Sz L c m N Downtown Collector Street -- Option B FIGURE Recommended Functional Classification h Ap roj f i l e\6759\cd rf i t es\j u n e_2005\6759 f 002.cd r 2 Q "1 O 0 60 g a y � z 5 ps �y O TD c "a m my 3� .s a. Y Wi 4AI. 5' 6' 7' 11' 11' 7' 6' 5" SIDE- PLANTING PARKING TRAVEL TRAVEL PARKING PLANTING SIDE- WALK STRIP LANE LANE LANE LANE STRIP WALK 58' L c m N Downtown Local Street FIGURE Recommended Functional Classification h Ap roj f i l e\6759\cd rf i t es\j u n e_2005\6759 f 002.cd r Tigard Downtown Improvement Plan Land Use Technical Memorandum Prepared for City of Tigard City of Tigard 13125 SW Hall Blvd. Tigard, OR 97223 Prepared by Parametrix 700 NE Multnomah, Suite 1000 Portland, OR 97232-4110 503-233-2400 www.parametrix.com August 2005 1 273-2395-041 CITATION Parametrix. 2005.Tigard Downtown Improvement Plan Land Use Technical Memorandum. Prepared by Parametrix, Portland, Oregon. August 2005. Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard TABLE OF CONTENTS 1. INTRODUCTION .................................................................................................1 2. TIGARD DOWNTOWN IMPROVEMENT PLAN CHARACTERISTICS ...............1 3. EXISTING LAND USE AND REGULATIONS......................................................2 3.1 OVERVIEW OF CURRENT LAND USES.................................................................2 3.2 TIGARD COMPREHENSIVE PLAN .........................................................................3 3.3 TIGARD COMMUNITY DEVELOPMENT CODE...................................................4 3.4 DESIGN STANDARDS................................................................................................8 3.5 REGIONAL GOVERNMENT REQUIREMENTS AND GUIDANCE.......................8 4. RECOMMENDATIONS........................................................................................10 4.1 COMPREHENSIVE PLAN..........................................................................................10 4.2 COMMUNITY DEVELOPMENT CODE...................................................................11 4.3 DESIGN STANDARDS...............................................................................................15 5. MEASURE 37......................................................................................................19 6. SUMMARY AND PREFERRED TIMING .............................................................19 LIST OF TABLES TABLE 1 ALLOWED RESIDENTIAL USES.........................................................................5 TABLE 2 SPECIFIC DEVELOPMENT STANDARDS..........................................................6 TABLE 3 COMPREHENSIVE PLAN REVIEW.....................................................................10 TABLE 4 EXISTING CBD DESIGN STANDARDS..............................................................15 TABLE 5 BUILDING PLACEMENT EXAMPLES................................................................17 TABLE 6 IMPLEMENTATION TIMING...............................................................................20 August 2005 273-2395-041 i Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard 1 . INTRODUCTION Before the City of Tigard's Downtown can grow into the vision created by the Tigard Downtown Improvement Plan ("Improvement Plan"), the City must ensure that the appropriate Comprehensive Plan policies and zoning ordinances (Tigard's Community Development Code) are in place to help carry out the community's public policy objectives. This technical memorandum will provide guidance to the City of Tigard by identifying existing regulatory barriers to implementing the Improvement Plan and by suggesting concept level additions or changes that would facilitate the desired development types. In addition, a proposed sequence of implementation for the recommended changes is provided based on the preferred sequence of development for the Downtown Improvement Plan Catalyst Projects. Z. TIGARD DOWNTOWN IMPROVEMENT PLAN CHARACTERISTICS The preferred design alternative for the Improvement Plan is in keeping with the Downtown Task Force's and the community's vision of an urban village (see Appendix A). The historic service and retail mix present on Main Street will be preserved and activity here will be augmented by: - increased emphasis on streetscape design, - compact lot sizes, - business front orientation to Main Street, - a second story presence allowing for office and residential uses, and - shared parking areas to allow for auto access with a focus on pedestrian or bicycle modes of transport within the district. A major shopping opportunity for residents of the region will be provided by a regional retail marketplace with prominent visibility at the intersection of OR Highway 99W and Hall Blvd. Emphasis here will be on larger scale, "medium-box" retailers centered around a community plaza, which also serves as the northern extent, or `headwaters,' of a new and unique urban creek feature. The creek will represent key values of Tigard's citizens and will lead pedestrians from the regional retail center down to the `Heart' of Downtown, at Fanno Creek. The Urban Creek will pass through medium to high density, compact, mixed-use residential areas with cafes and shops along the park; link with employment/office districts along the commuter rail; connect with the commuter rail, Tri-Met bus system transit center and adjacent linear park; and have a direct connection with a future community performance and recreation center. As yet undesigned, the conceptual terminus of the urban creek is at the planned Fanno Creek open space providing a link with a future open plaza and the southern end of the Main Street district. A medium to high-density residential area will be located along Hall Blvd. between the new regional retail center and Commercial Street. This area is envisioned to provide up to eight- story residential towers with underground or structured parking and ample open, green space. A more moderate density housing area, focused on condominiums is planned to the southeast of the current southern terminus of Ash Avenue between the Fanno Creek floodplain and the civic and employment center of Downtown. Civic uses will continue to be centralized along Burnham Street,east of Ash Avenue and south along Hall Blvd. August 2005 1273-2395-041 1 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard In addition to the recommendations on the layout of Downtown uses and functions, the Task Force and the Tigard community-at-large also incorporated two other key requirements for the Improvement Plan: Streetscape design and improvements; and an overarching environmental responsibility, or greening of Downtown drawing upon the natural and ecological characteristics of Fanno Creek for inspiration. The organization and unique elements of the Improvement Plan will promote transit use, shared parking, successful commerce, and community enjoyment, all vital to a vibrant urban village. Eight catalyst projects have been defined in the Improvement Plan to help create this vibrant Downtown character. These projects are more thoroughly described in the Downtown Improvement Plan document. 1. Streetscape Enhancement Program 2. Green Corridor/Urban Creek 3. Hall Blvd. Regional Retail 4. Downtown Housing Development 5. Ash Area Downtown Improvement 6. Performing Arts and Recreation Center 7. Fanno Creek Public Area 8. Relocating Post Office The Preferred Design Alternative is predicted at full build-out to provide for approximately 1,986 households and approximately 4,077 employees with assumed densities of 250 square feet per employee for office, 500 square foot per employee for the performing arts and recreation center and 470 square feet per employee for retail. The residential density assumption was 1,000 gross square feet per residential unit. The desired features and characteristics for Downtown Tigard, built on community and Task Force recommendations, and the land use and density assumptions provided above form the basis for the recommendations in this Land Use Technical Memorandum. The recommendations provided in this memo are intended to provide the City of Tigard guidance for amending existing Comprehensive Plan and Community Development Code to create appropriate and effective implementation tools for Tigard's Downtown. 3. EXISTING LAND USE AND REGULATIONS 3.1 Overview of current land uses The existing uses in Downtown include retail, office, residential, auto-dependent businesses, and large-lot light industrial businesses as well as public park, civic service, and transit uses (see Appendix B). Industrial uses are prominent to the southeast of the plan area. Retail commercial uses are concentrated to the northwest along OR 99W, and residential districts surround the Downtown core. Based on a September 2003 Downtown land use and building inventory survey conducted by the City of Tigard, approximately 38 percent of land in the plan area is occupied by commercial uses, including office and retail. Industrial uses comprise approximately 14 percent of the land area, and government uses, including City services, transit services, and the US Post Office occupy approximately 18 percent of the land in the plan area. The next largest use by land area is public parks, which occupy 16 percent of the land. Multi-family land use occupies approximately eight percent of the land area, and less than two percent each is classified as vacant land, single family, single family attached, or institutional. 2 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Lot sizes within the plan area vary widely. The average lot size is just under one acre, while the maximum lot size is approximately 15 acres. The more compact lots are found along Main Street and on the south side of the Southern Pacific and Burlington Northern rail lines. Larger lots are concentrated along Fanno Creek and the southern half of Hall Boulevard. 3.2 Tigard Comprehensive Plan Currently, there are three policies in the Comprehensive Plan that directly pertain to the Downtown, which is designated as Central Business District (CBD). In the plan, the policy statements provide directives to the City for making decisions and preparing plans. The implementation strategies are recommendations and propose implementation methods. The applicable policies provide general guidance that the CBD should be developed into a focal point for the city and should move toward the high-density residential and mixed uses envisioned for Town Centers. The policy text is included below. To see the applicable implementation strategies, please refer to the Existing Conditions and Opportunities and Constraints report that is attached as an appendix to the Tigard Downtown Improvement Plan. ECONOMY SECTION—VOL.II,POLICY 5-1 5.3 The city shall improve and enhance the portions of the central business district as the focal point for commercial, high density residential, business, civic and professional activity creating a diversified and economically viable core area. 5.4 City shall prohibit residential development in commercial and industrial zoning districts except: complimentary residential development shall be permitted above the first floor in the central business district, and above the second floor in commercial professional districts. (the density of residential development shall be determined in accordance with the R-40 districts.) SPECIAL AREAS OF CONCERN—VOL.II,POLICY 11-1 11.1 Neighborhood Planning Organization#1 A. Central Business District 11.1.1 The redevelopment of downtown Tigard shall be accomplished in order to make it complementary to newer shopping areas. Convenience, appearance and the needs of the shopping public should be primary considerations. Policy 5.3 in the Economy Section currently provides direction to move toward a diversified and economically sound Downtown. It includes the major elements of the Preferred Design Alternative, with the exceptions of supporting multi-modal transportation and retaining the character of Main Street. Policy 5.4 currently directs the City of Tigard to restrict residential development in commercial zones (CBD included), allowing residential uses only above street level. The Preferred Design Alternative calls for live-work units and condominium development as well as some garden style apartments that would place residential uses at street level. In the Preferred Design Alternative, these areas would be designated with a Town Center residential zoning district to be described later in this memorandum. August 2005 1273-2395-041 3 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Policy 11.1.1 in the Special Areas of Concern section is currently missing the multi- functional goals that the Preferred Design Alternative embodies. Instead, this policy focuses on retail and shopping and does not promote the "18-hour" day activity called for in the Improvement Plan. This policy also places the primary focus on the shopping public rather than on the desires of the community of Tigard. Specifically, the primary considerations should mirror those developed by the Task Force in their vision for Downtown: "Our vision of Downtown Tigard is a vibrant and active urban village at the heart of our community that is pedestrian oriented, accessible by many modes of transportation, recognizes and uses natural resources as an asset, and features a combination of uses that enable people to live, work, play and shop in an environment that is uniquely Tigard." The Special Areas of Concern section may benefit from including that the design of redevelopment along Main Street should work to maintain the historic character and appearance that creates a small town feel either as a policy or as an implementation strategy. New policies or implementation strategies in the Economy section should recognize that change in the Downtown will occur gradually and that when possible, flexibility can be employed to foster the development of the catalyst projects. The Economy section should also change its statements regarding a general economic development program to recognize the consultant and Task Force recommendation that new funding mechanisms, including urban renewal,be used to help carry out the Improvement Plan. 3.3 Tigard Community Development Code 3.3.1 Base Zone All of Downtown Tigard is currently zoned Central Business District(CBD) in Title 18 of the Tigard Municipal Code. Chapter 18.520 Commercial Zoning Districts defines allowed uses and development standards within the CBD zone and provides the following purpose statement: "The CBD zoning district is designed to provide a concentrated central business district, centered on the City's historic downtown, including a mix of civic, retail and office uses. Single-family attached housing, at a maximum density of 12 units/net acre, equivalent of the R-12 zoning district, and multi-family housing at a minimum density of 32 units/acre, equivalent to the R-40 zoning district, are permitted outright. A wide range of uses, including but not limited to adult entertainment, utilities, facilities with drive-up windows, medical centers, major event entertainment and gasoline stations, are permitted conditionally." This purpose statement and the allowed uses and basic development standards of the CBD zone (shown in Table 1) are generally appropriate for the several `districts' proposed in the Improvement Plan,but do not provide enough specificity to direct development in those districts into the types of uses and building forms called for in the Preferred Design Alternative. Where the Improvement Plan calls for regional retail,the current CBD zone may allow for residential,office or civic uses. Similarly,where the Improvement Plan recommends residential condos,the CBD zone may allow for development of lower density single-family residential or office space. Further,mixed-use developments could be allowed within the current CBD base zone;however,there are no specific regulations that guide this type of 4 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard development to occur within any specific areas of the CBD. New base zones with more specific purpose statements should be developed for the Downtown. Additionally,each district, as envisioned during the planning process,requires a slightly different set of development standards (lot sizes,building heights and sizes, etc.)to bring the desired character of each district into realization. Recommendations for creating a zoning scheme are provided later in this memorandum. Table 1 Allowed residential Uses Summary of Allowed Residential Uses for CBD(from Table 18.520.1) Household Living Single-family attached and multi-family residential units developed at R-40 standards,except the CBD area bounded by Fanno Creek,Hall Boulevard,O'Mara,Ash Avenue and Hill Street.This area is designated R-12 PD and shall be developed as planned developments in conformance with R- 12 district standards. ............................................................................................................................................................................................................................................................................................................................................................................................................................................. Group Living ■ Permitted Use ............................................................................................................................................................................................................................................................................................................................................................................................................................................. Transitional Housing • Conditional Use Home Occupation Restricted Use. Permitted subject to requirements Chapter 18.742 Summary of Commercial Development Standards for CBD (from Table 18.520.2) Minimum lot size • None ............................................................................................................................................................................................................................................................................................................................................................................................................................................. Minimum lot width • None ............................................................................................................................................................................................................................................................................................................................................................................................................................................. Minimum Setbacks None,except a 30-foot setback is required where a commercial use abuts a residential zoning district. ............................................................................................................................................................................................................................................................................................................................................................................................................................................. Minimum building height ■ None ............................................................................................................................................................................................................................................................................................................................................................................................................................................. Maximum building height 80 feet,except where the building is within 100 ft of any residential zoning district,maximum building height is 40 feet. 3.3.2 Specific Development Standards The Specific Development Standards chapters in the Community Development Code (I 8.700s) were reviewed and analyzed with the guidelines provided by the City of Tigard, the Task Force, and the consultant design team on the desired characteristics and development in Downtown in mind. Requirements were found within several chapters that may act as barriers to creating the kind of Downtown envisioned in the Improvement Plan. Other chapters were silent where the Improvement Plan may need regulatory or incentive based direction in the code. The treatment of nonconforming situations, an issue brought up early in the planning process for Downtown, is addressed separately below, while the remaining issues are compiled in Table 2 in the following section. August 2005 1273-2395-041 5 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Nonconforming Situations Several types of uses presently found within the Downtown area are identified as prohibited in Table 18.520.1, including light and general industrial, and warehouse freight movement. Auto service uses,except for auto cleaning are also prohibited. Section 18.520.060.B.2 allows existing nonconforming industrial structures at the following locations to continue as I-P Industrial Uses. This code section applies to the following tax lots: 2S 12AA04700, 2S 12AC00100, 2S 12AC00202, 2S 12AD01203, 2S 12DB00100, and 2S12DA00300t. Section 18.760.B exempts single-family residences in the CBD zone from the nonconforming situation requirements. In simple terms, citywide a nonconforming use cannot be expanded but it may remain as long as the use is not changed or abandoned for more than 6 months (a use can't be "destroyed", but the structure that holds the use can). A nonconforming structure can remain; in general it can be remodeled for cosmetic and safety purposes provided the square footage is not increased. Although the Task Force is working diligently to change the character and improve the economic vitality of Downtown and understands that industrial and single-family housing uses are not generally conducive to a thriving downtown, it also recognizes that change needs to and will occur slowly. Historically successful uses, even if they are nonconforming and will continue to be nonconforming under new zoning for the Downtown, should be given a higher degree of acceptability than is generally provided under standard nonconforming use regulations. To retain sensitivity to business owners currently operating legally established nonconforming uses Downtown, it is advisable to consider developing a threshold of allowed expansion or redevelopment based on a percentage of square footage. Rather than providing a complete exemption, as is the current practice, this approach will allow business owners to improve their property within certain limits while operating a nonconforming use. During the implementation phase, the Land Use Advisory Group will work with land and business owners to develop code language to address Downtown nonconforming situations that will assist in the transition period. This will help ensure continued viability of existing uses in areas of Downtown that may not be ready to change or redevelop their property to reflect the new uses planned in the Preferred Design Alternative. Other Specific Design Standards Table 2 provides a planning level analysis of existing Special Development Standards and consistency with the Improvement Plan. This analysis focuses on identifying existing barriers to creating the desired character in Downtown and areas where the Community Development Code is silent on certain Preferred Design Alternative elements. Table 2 Specific Development Standards Code Section 1 Specific Language Consistency with Improvement Plan 18.705.030.F.4 Pedestrian walkways shall Need to ensure that pervious pavers (i.e. be paved with hard surface grass-crete) are allowed by including these materials, such as concrete, treatments in this list. Further research is .......................................................................................................................................................................................................................................................................................................................................................................................................................................................... I The uses on these lots are not considered nonconforming and are limited by the standards the CBD zone. These uses can expand while following all other applicable standards in the Community Development Code. 6 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Code Section Specific Language Consistency with Improvement Plan asphalt, stone, brick, etc. required to determine feasibility with emergency vehicle and structural and safety requirements. ...................................................................................:..................................................................................................................................................................................................................................................................................................................................................................... 18.745.030 Landscaping and Screening. While not specifically prohibited now,it General comment: vegetated would be beneficial to address and stormwater treatment encourage vegetated stormwater facilities to be used to meet landscaping requirements. Providing design examples of these facilities within the Buffer Combinations in Table 18.745.2 would be helpful. ...................................................................................:..................................................................................................................................................................................................................................................................................................................................................................... 18.765 General comment:Metro The City of Tigard is currently in standards conformance with Metro parking requirements. ....................................................................................................................................................................................................................................................................................................................................................................................................................................................... 18.765.030.0 Joint Parking. Owners of Within the Downtown,the City may want two or more uses, to consider allowing joint parking for users structures, or parcels of whose peak hours do coincide (as opposed land may agree to utilize to limiting this section to only those uses jointly the same parking and that do not coincide). One possibility to loading spaces when the accomplish this would be by including a peak hours of operation do requirement for a larger minimum number not overlay, subject to the of spaces and a more permanent legal following: ... agreement instrument. The benefit would be that fewer parking lots would occupy Downtown space and pedestrian access within Downtown would be encouraged. ...................................................................................:..............................................................................................................................................:...................................................................................................................................................................................................................... 18.765.040.B.5 Access drives shall be Again,this requirement needs to ensure that improved with an asphalt or pervious pavers (i.e. grass-crete) are concrete surface; allowed by including these treatments in this list. Further research is required to determine feasibility with emergency vehicle and structural and safety requirements. ...................................................................................:..............................................................................................................................................:...................................................................................................................................................................................................................... 18.775 Sensitive Lands. General The Improvement Plan includes Comment:Agreement and recommendations for limited development support along Fanno Creek within or near areas protected by Chapter 18.775. The Improvement Plan is in full support of the environmental protections and review process established by Chapter 18.775. No special exemptions or provisions are recommended. ....................................................................................:.................................................................................................................................................................................................................................................................................................................................................................... 18.780.130.0 Signs in the C-G and CBD Further analysis of allowed signs in zones. General Comment: conjunction with the development of Allowed signs Downtown design standards is recommended. .......................................................................................................................................................................................................................................................................................................................................................................................................................................................... August 2005 1273-2395-041 7 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Code Section 1 Specific Language Consistency with Improvement Plan 18.795.030 Visual Clearance This exception is likely applicable to the Requirements. Except in the Main Street area and potentially other areas CBD zoning district a visual of Downtown. However, the City should clearance area shall be revisit this provision to determine its maintained on the corners applicability and the benefits of providing of all property adjacent to the exception only in certain districts of the intersection of two Downtown(e.g. Main Street,residential streets, a street and a areas near the regional retail and the office railroad, or a driveway district along the commuter rail) and not in providing access to a public others (e.g. the regional retail center,the or private street. "Heart" and the civic district where emergency service vehicles are stationed. 3.4 Design Standards The City currently defines design guidelines for Downtown within the Interim requirements in the CBD zone in Section 18.520.060.B. All of the objectives presented here are consistent with the goals of the Preferred Design Alternative including guidance for building orientation, provision of pedestrian facilities, limiting automobile support services and avoiding the creation of small scattered parking areas for development within '/4 mile of a public transit line or stop. Facilitation of pedestrian and bicycle circulation is provided for sites along streets designated with bike paths or that are adjacent to a designated greenway, open space, or park area. Considerations include lighting, windows at street level, bicycle parking, and protection from auto/truck circulation areas. Currently these guidelines only apply to a limited number of sites. It may be beneficial to apply some of these guidelines, or similar guidelines, to all properties within Downtown to increase pedestrian and bicycle access and improve the experience of using these transportation modes Downtown. Other guidelines in this section address the need for coordination of development within Downtown and require that consideration be given to continuity and/or compatibility of development while they also encourage flexibility to share access and landscaping where this approach would be beneficial. Siting and orientation of land uses is also considered under coordination of development, and currently this section requires the development to consider the `adopted plan'. If this regulation were to remain in the new design guidelines for Downtown further direction as to land use orientation may need to be developed to accompany the Preferred Design Alternative. Currently orientation is suggested by the organizing principles of the Green Corridor/Urban Creek, the Heart at Fanno Creek and Main Street. This section in the current code also requires screening of industrial and commercial areas from the view of residential uses. With the Preferred Design Alternative many areas are intended to provide mixed uses to include both residential and commercial. Some screening is appropriate and beneficial between residential uses and commercial uses, however further consideration should be given to the extent of screening required in the design guidelines and differentiation between requirements for residential uses within the newly proposed zones should be developed. 3.5 Regional Government Requirements and Guidance The Tigard community has focused on the growth and development of Downtown Tigard for years. However, as a designated Town Center in Metro's 2040 Growth Concept Plan, Tigard 8 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard is obligated to create a land use and transportation plan consistent with Metro guidelines for Town Centers. The following sections address Tigard's regional policy compliance. 3.5.1 Metro's 2040 Growth Concept and Framework Plan The Metro 2040 Growth Concept defines regional growth and development in the Portland metropolitan region. The growth concept was adopted in the Region 2040 planning and public involvement process in December 1995. Metro's 2040 Growth Concept Plan provides guidance with respect to how Town Centers should function. The 2040 Growth Concept identifies centers as compact,mixed-use neighborhoods of high-density housing,employment and retail that are pedestrian-oriented and well served by public transportation and roads. Metro's projected density for Downtown Town Centers in the 2040 Growth Concept is 40 average persons per acre. Town Centers are described as the central focus of community life and should serve residents living within two or three miles. Some key objectives for developing Metro designated 2040 Centers include: ■ Promoting more intensive mixed-use development. ■ Providing infrastructure to support more intensive development. ■ Creating effective local and regional transportation connections to and within the center for all travel modes. ■ Providing public spaces and distinct center identification. ■ Recognizing the natural environment as a desired amenity. Specific guidance provided in the 2040 Growth Concept for land use within Centers includes: ■ Permitting multiple uses on one property. ■ Discouraging and limiting parking within the Center. ■ Limiting the number of auto-dependent uses. ■ Prohibiting storage as a primary use. ■ Providing bicycle parking at major destinations. ■ Minimizing impervious paved areas for new streets and parking areas. Metro has determined that Tigard is in compliance with Functional Plan requirements.The Improvement Plan represents a continued commitment by Tigard toward achieving Town Center objectives. 3.5.2 Town Centers Metro's Urban Growth Management Functional Plan (Functional Plan), which is included in Metro's Code as Chapter 3.07, implements Metro's 2040 Growth Concept Plan. Title 6 of the Functional Plan affects areas designated as Central City, Regional Centers, Town Centers and Station Communities, and is intended to enhance these centers by encouraging development that will improve the critical roles centers play throughout the region and discouraging development that will detract from the function of the centers. Town Centers are smaller than regional centers (e.g., Washington Square), and are characterized by local shopping and employment opportunities within a local market area. They are connected to regional centers by roads and transit. Each city with a Center needs to have an enhancement strategy by Dec. 31, 2007, per Title 6/3.07.610 of the Functional Plan. The following elements are required for a strategy to be accepted: August 2005 1273-2395-041 9 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard 1. An analysis of physical and regulatory barriers to development and a program of actions to eliminate or reduce them. 2. An accelerated review process for preferred types of development. 3. An analysis of incentives to encourage development and a program to adopt incentives that are available and appropriate for each Center. 4. A schedule for implementation of Title 4 of the Urban Growth Management Functional Plan. 5. An analysis of the need to identify one or more Neighborhood Centers within or in close proximity to Inner and Outer Neighborhoods to serve as a convenient location of neighborhood commercial services, as authorized by Title 12, Section 3.07.1230 of the Urban Growth Management Functional Plan. 6. A work plan,including a schedule,to carry out the strategy. Title 6 allows cities that have adopted a strategy in compliance with Section 3.07.620 for a Town Center or other type of center to be eligible for designation of state highways within that center as a Special Transportation Area under Policy 1B of the 1999 Oregon Highway Plan. Title 6 further provides that cities should strive to locate government offices within a designated center and to the extent possible, should prevent the location of government offices outside of the center. The City of Tigard's City Hall and other administrative offices are presently located within the Downtown Tigard area, near the intersection of the Fanno Creek and Hall Boulevard. The public library is just outside the plan area and is very close to City Hall. The Tigard Downtown Improvement Plan will fulfill the Title 6 requirement for the Tigard Town Center with improvement strategies and a specific implementation program. The Improvement Plan represents the work plan and schedule for carrying out the requirements of Title 6. 4. RECOMMENDATIONS 4.1 Comprehensive Plan To be consistent with the vision of the Improvement Plan, the City of Tigard needs to make some relatively small adjustments to policy statements and implementation strategies within the Comprehensive Plan. Table 3 summarizes the recommended changes: Table 3 Comprehensive Plan Review Section I Policy I Recommendations Economy 5.3 No change required. Economy 5.4 This policy should declare that residential development within the TC zones is encouraged. Multiple housing types are to be provided within the TC zones that will accommodate the needs of several different housing markets. More housing and a variety of housing types Downtown will help create a vibrant and economically sound city core. ................................................................................:......................................... .................................................................................................................................................................................................................................................................................................... 10 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Section I Policy I Recommendations Economy New New policies or implementation strategies in the Economy section should recognize that change in the Downtown will occur gradually and that when possible,flexibility can be employed to foster the development of the catalyst projects. ......................................................................................................................;................................................................................................................................................................................................................................................................................................................................ Economy New The City should change statements regarding a general economic development program to recognize the consultant and Task Force recommendation that urban renewal be used as a funding mechanism. ..............................................................................._......................................._................................................................................................................................................................................................................................................................................................................................ Special Areas 11.1.1 : Should be rewritten to include the multi-functional goals of Downtown;retail shopping,housing,recreation,civic services, employment, and transit are all important to the success of Downtown. Primary focus should be on the vision statement and guiding principles developed by the Task Force in the Improvement Plan planning process. ..............................................................................._......................................._................................................................................................................................................................................................................................................................................................................................ Special Areas New Although the vision and guiding principles include historical preservation as a goal,it may be beneficial to include a specific policy stating the preference for retaining the character historically present on Main Street. ................................................................................:........................................................................................................................................................................................................................................................................................................................................................................ It is also recommended that the Comprehensive Plan be amended to include the Tigard Downtown Improvement Plan as an element of the Comprehensive Plan. 4.2 Community Development Code Given the desired characteristics for an improved Downtown Tigard described above and the analysis of the current CBD zoning in the Community Development Code, it is recommended that four new Town Center base zones and two new Town Center overlay zones be created for Downtown. The recommended zones designed to guide uses as arranged on the Preferred Design Alternative, are shown on the Zoning Map in Appendix C. The analysis of the existing regulatory framework for Downtown revealed that there are not many regulatory barriers to developing Downtown as it is envisioned in the Improvement Plan. However, there is also a lack of specific direction and requirements strong enough to guide development into what is desired. In other words, the existing code would continue to allow developments that are not conducive to creating a vibrant, urban village with organized mixed uses to taking the best advantage of the setting and surroundings. Several options exist for creating guidance in a regulatory environment: incentives, a mix of incentives and regulations, and only regulations. The vision for Downtown Tigard is strong and requires a lot of change over time to achieve. Relying heavily on incentives is not likely to create results. Tigard needs to rely more on regulatory structure to shape development Downtown than on an incentive structure, and it is for this reason that the four new base zones and two new overlay zones are proposed. This is not to say that incentives should not be used. In fact, throughout the Community Development Code recommendations, the future development of incentives is recommended to achieve some of the `greener' characteristics. The City of Tigard already has several mixed-use zones that are specifically tailored to meet the needs of other areas of the city. While built upon these existing mixed-use zones, area- August 2005 1273-2395-041 11 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard specific purpose statements and alterations to the development standards are provided for the recommended zones. o TC-CBD: Town Center—Central Business District • Model Zone: current CBD zoning ■ Purpose Statement: The TC-CBD zoning district is designed to provide a concentrated central business district, centered on the City's historic downtown Main Street and providing a mix of uses including retail, office, service, and civic. Utilities and transit-related park-and-ride lots are allowed. A wide range of uses, including but not limited to, facilities with drive-up windows, medical centers, and major event entertainment are permitted conditionally. Multi-family residential housing should be considered as a conditional use above first floor commercial uses and should comply with the R-40 (or similar)zoning district standards and density requirements. ■ Uses: In contrast to the existing CBD zone, the TC-CBD zone would prohibit single-family residential and adult entertainment uses, and would allow medium-high density residential, office, civic/public, indoor entertainment, etc. as fits the desired character of Main Street. Residential uses should be prohibited adjacent to the commuter rail line. ■ Development Standards: With the exception of building heights, the existing development standards in Table 18.520.2 as applied to the CBD zone are recommended for the TC-CBD zone. To retain the character of Main Street, properties fronting on Main Street should have a building height maximum of 40 feet. This should accommodate the current multi-story buildings and allow for limited upward expansion for single story buildings and new development. o TC-MUC: Town Center—Mixed Use Commercial District ■ Model Zone: MUC—Mixed Use Commercial ■ Purpose Statement: The TC-MUC zoning district is designed to promote medium to large retail establishments to anchor the economy of Downtown and create a regional draw to the Downtown. In general, retail uses supporting sales, eating establishments and some personal services will be the focus. ■ Uses: Allowed uses will include sales-oriented, personal services retail, and eating and drinking establishments. Conditional uses will include repair- oriented retail, bulk sales, office uses, and other commercial uses. Multi- family residential housing should be allowed as a conditional use above first floor commercial uses and should comply with the R-40 zoning district standards and density requirements. ■ Development Standards: With the exception of building heights, the existing development standards in Table 18.520.2 as applied to the MUC zone are recommended for the TC-MUC zone. To accommodate the taller single story warehouse-like structures of medium-box retail anticipated in this area, this zone should have a maximum building height of 40-50 feet. o TC-MUE:Town Center—Mixed Use Employment ■ Model Zone: MUE-2 12 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard ■ Purpose Statement: The TC-MUE zoning district is intended to provide an employment base comprised of civic and office uses, while also providing medium to high density multi-family housing appropriate to the character of the area and meeting the density requirements of the R25 zoning district. Commercial and retail support uses are allowed but are limited. ■ Uses: This zoning district allows a wide range of uses including business/professional offices, civic uses, multi-family housing, and retail good and services. Light industrial is a conditional use as are community recreation facilities, religious institutions and utilities. Residential uses should be prohibited adjacent to the commuter rail line. ■ Development Standards: Existing development standards in Table 18.520.2 as applied to the MUE-2 zone are recommended for the TC-MUE zone. o TC-MUR: Town Center—Mixed Use Residential ■ Model Zone:MUR districts ■ Purpose Statement: The TC-MUR zoning district has two levels of intensity, TC-MUR-1 and TC-MUR-2 that are both intended to provide predominately residential areas where compatible mixed-uses are allowed. ■ Uses: TC-MUR-1 allows for high density, medium-rise residential with a minimum residential density of 50 units per acre. Supporting service retail is an allowed use. TC-MUR-2 allows for medium density apartment, town home and condominium uses with a maximum of 50 units per acre. Supporting service retail is an allowed use. ■ Development Standards: Existing development standards in Table 18.520.2 as applied to the MUR-1 and MUR-2 zones are recommended for the TC- MUR-1 and TC-MUR-2 zones,respectively. o Green Corridor/Urban Creek Overlay— ■ Model Zone: None ■ Purpose Statement: The Green Corridor/Urban Creek Overlay Zone provides a mechanism to guide development such that the future development of the Green Corridor/Urban Creek is not precluded. The overlay zone designates the area of Downtown within which proposed development plans must be reviewed especially to determine whether proposals meet the intent of the Improvement Plan to provide a Green Corridor/Urban Creek. ■ Guidelines: The recommended regulatory mechanism is to require that all proposed development be reviewed through the conditional use permit process to include significant collaboration between city staff and the development applicant. The purpose of the collaboration is to jointly reach the best site design that accommodates both the future use of the corridor and the needs of the applicant. Because dimensions and other necessary characteristics of the corridor are yet to be developed, specific approval criteria to be applied to proposed development in this overlay zone will be developed after, or as part of, the Green Corridor/Urban Creek feasibility study. These will create a secondary, more specific mechanism to ensure development is appropriate for the intended use of the area. August 2005 1273-2395-041 13 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard ■ Uses: The overlay zone does not affect allowed uses established in the base zone. ■ Development Standards: Because the location, dimensions, and details of the Green Corridor/Urban Creek are yet to be determined, the overlay zone does not affect development standards established in the base zone. However, it may be beneficial to offer some extent of flexibility with development standards if doing so would make it possible for a proposed development to both comply with development standards and provide the best site design to accommodate the future corridor. o Fanno Creek Open Space Overlay— ■ Model Zone: None ■ Purpose Statement: The Fanno Creek Open Space Overlay Zone provides a designation of the area within Downtown on the north bank of Fanno Creek that is envisioned in the Improvement Plan to be developed into a passive recreation open space area. This overlay zone establishes the intended type and intensity of use for sites within the overlay zone area. The overlay zone does not amend the development restrictions found in Chapter 18.775 Sensitive Lands that would apply to much of the land within the overlay. ■ Uses: The overlay zone amends the allowed uses of the base zone to only include passive recreation and entertainment/public gatherings such as wildlife observation, walking and biking (on designated pathways), and picnicking, and smaller special entertainment events and public gatherings. ■ Development Standards: Within the overlay zone, development standards are amended to include performance-based standards to protect water quality, native vegetation and diversity of vegetation, and habitat for fish and wildlife, and to provide sensitive construction practices. o The Special Development Standards in Chapters 18.700 — 18.798 were evaluated for this analysis and the findings are presented above in Section 3.3.2. Here, the specific recommendations are summarized. ■ Pervious paving treatments, such as grass-crete should be added to all special development standards that required hard-surface paving. This should only be done after investigation of safety standards. ■ Vegetated stormwater treatment swales should be allowed to count towards landscaped area requirements. ■ The expansion of options for joint parking facilities should be considered to potentially allow uses that do have some overlap in peak parking times to share parking. ■ Sign standards for Downtown should be reviewed for cost and aesthetic considerations and should potentially be amended. ■ The CBD is currently exempt from visual clearance requirements. With the creation of new base zones for Downtown, this exception should be revisited as it may only be appropriate for certain areas of Downtown (i.e. Main Street,residential areas,and the office district along the commuter rail line). 14 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard 4.3 Design Standards As discussed in Section 3.4 above, the existing Interim requirements in the CBD zone currently in the Tigard Community Development Code contain guidelines and objectives that should be retained for Downtown when the zoning code is amended. Table 4 highlights those things that may not be appropriate for Downtown and that should be further evaluated: Table 4 Existing CBD Design Standards Code Section Subject Recommendations 18.520.060.B.I.a(1 &2) Transit oriented site Currently these guidelines only apply to a design and limited number of sites. It may be beneficial pedestrian to apply some of these guidelines, or similar circulation guidelines,to all properties within Downtown to increase pedestrian and bicycle access and improve the experience of using these transportation modes Downtown. ................................................................................................................................................................................................................................................................................................................................................................................................................................................................... 18.520.060.B.1.a(3)(b) Siting and building If this regulation were to remain in the new orientation design guidelines for Downtown further direction as to land use orientation will need to be developed to accompany the Preferred Design Alternative. Currently orientation is suggested by the organizing principles of the Green Corridor/Urban Creek, the Heart at Fanno Creek and Main Street. ................................................................................................................................................................................................................................................................................................................................................................................................................................................................... 18.520.060.B.1.a(3) Use screening With the Preferred Design Alternative many areas are intended to provide mixed uses to include both residential and commercial. Some screening is appropriate and beneficial between residential uses and commercial uses,however further consideration should be given to the extent of screening required in the design guidelines and differentiation between requirements for residential uses within the newly proposed zones should be developed. The remainder of the interim design guidelines should be retained in some form while revising the Community Development Code. Tigard has developed design standards for the Tigard Triangle and Washington Square Regional Center. For the purposes of this Technical Memorandum, the Washington Square Regional Center Design Standards were evaluated for form and content and recommendations were developed for using these standards as a model to create Downtown Tigard design standards. Each major component of the Washington Square Regional Center Design Standards chapter (18.630) is summarized below and recommendations are provided for adaptation. August 2005 1273-2395-041 15 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard It is recommended that the content of the existing interim design standards for the CBD district and the adapted content and organization of the Washington Square Design Standards, as provided below, be used in combination to create design standards for Downtown Tigard. These new design standards would have the opportunity to allow for creation of a theme consistent with a future streetscape plan and/or consistent with Main Street, if desired. Creating a theme should provide an impression of unity throughout Downtown. Purpose and Applicability This section provides context for the creation of design standards. It acknowledges input and guidance from the community, addresses connections with regional planning goals, establishes the desired character of the area of focus, and draws a conclusion that new zoning districts to implement change are appropriate. This section also establishes the context and applicability of design principles and development conformance, and identifies how uses and conflicting standards will be addressed. Recommendation This section should be used as a model for Downtown Tigard design standards, however area and process specific changes are necessary to be consistent with Downtown Tigard. Development Standards This section establishes where applicable development standards are found in the Community Development Code and provides processes for flexibility with development standards. It also establishes special density requirements for areas near riparian setbacks. Recommendation This section and its components are appropriate for the Downtown Tigard Improvement Plan. Providing. Downtown Tigard specific language would be necessary. Pre-Existing Uses and Developments This section establishes special provisions related to nonconforming structures and uses and provides flexibility for redeveloping these properties above and beyond the restrictions provided in chapter 18.760 Nonconforming Situations. Recommendation This section provides the needed flexibility described earlier in this memorandum by allowing a threshold of development for expansion of lawfully established nonconforming situations. The Land Use Advisory Group will need to determine the appropriate threshold limit for Downtown Tigard. Street Connectivity This section defines standards intended to create and retain a street network that facilitates movement throughout the district by establishing required minimum distances between public streets. Flexibility is granted for barriers due to existing rail lines,topography, etc. Recommendation A section intended to establish and/or retain street connectivity is necessary for Downtown Tigard. However, it is recommended that rather than referring to quantitative requirements, such as minimum distances between public streets, the Downtown Tigard Design Standards may be more effective by referring to the street and pedestrian connection layout provided in the Preferred Design Alternative Map (Appendix A). 16 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Site Design Standards This element contains several subsections that must be considered separately. Building placement This section focuses on the percentage of street frontages occupied by buildings and the location of buildings at intersections. For minor and major arterial streets, it establishes a minimum percentage requirement and requires that when a property is located at an intersection,the building must be located at the intersection. Recommendation For Downtown Tigard, it is likely more appropriate to provide specific minimums within each new zoning district. The Land Use Advisory Group will need to evaluate and determine the exact requirements, but in concept, Table 5, below, provides potentially appropriate examples: Table 5 Building Placement Examples Zone Example Minimum Required Building Frontage TC-CBD 50% -70% to provide compact Downtown character ........................................................................................................................................................................................................................................................................................................................................................................................................................................ TC-MUC40% -50% to allow for parking required for retail ...............................................................................:........................................................................................................................................................................................................................................................................................................................................................ TC-MUE 20% -40% to allow for civic use and parking needs ........................................................................................................................................................................................................................................................................................................................................................................................................................................ TC-MUR 20% -40% to allow for smaller building facades in residential districts Building setback&front yard setback design These sections establish what section of the code defines the building setbacks and provides design requirements for landscaping or hard-surface treatments within setbacks greater than zero feet. Recommendation These sections should be included in any new design standards for Downtown and should be augmented to encourage the use of pervious pavers and native plants. It is also recommended that placing vegetated stormwater treatment swales within the setback be allowed. Walkway Connection to building entrances This section requires that pedestrian connections between building entrances and the street be provided to enhance the pedestrian environment and facilitate pedestrian transportation within the district. Recommendation This section should be included in design standards for Downtown with the addition of encouragement to use pervious pavers wherever possible. August 2005 1273-2395-041 17 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Parking location and landscape design This section focuses on locating private parking areas behind or to the side of new buildings and providing landscape screening of parking areas to enhance the pedestrian streetscape experience. Recommendation This design principle was raised during the development of the Downtown Tigard Improvement Plan and should be incorporated into any Downtown Tigard design standards. Building Design Standards The building design standards provided for Washington Square are nearly identical to those provided for the Tigard Triangle. They provide standards intended to create interesting facades, provide `eyes on the street', require the use of higher quality siding materials, and screen unsightly building components from view. Recommendation It appears all of the building design standards are appropriate for Downtown Tigard. However, it is recommended that the Land Use Advisory Group evaluate the standards to determine if any more stringent requirements are desired. Signs This section incorporates the existing standards for signs into the design standards and provides a few additional restrictions to guide the creation of aesthetically pleasing signs. Recommendation These standards seem appropriate for Downtown Tigard and should be incorporated into any design standards adopted for Downtown. Entry Portals (Gateways) The Tigard Triangle design standards for entry portals were used as a model for this analysis because the Washington Square standards are as yet undeveloped. This section establishes gateway locations and provides a basic design statement for what gateways are meant to accomplish. Recommendation The Downtown Tigard design standards should refer to the Preferred Design Alternative to establish locations for gateways. The Land Use Advisory Group will need to conduct further analysis in order to provide specific gateway design standards. Landscaping and Screening This section incorporates the L-1 and L-2 landscaping standards of Chapter 18.745 and makes minor additions for use within the area subject to the design standards. It also states that these are minimum requirements and that higher standards may be substituted. Recommendation These standards are reasonable for Downtown and should be included in design standards created for Downtown. However, in keeping with the expressed desire of the community, a requirement to use native plants (or some percentage of native plants), wherever practicable, should be added. A purpose statement should be added to this section identifying why native plants are beneficial and how their use can be educational and can help create a sense of community stewardship and connection with Fanno Creek. 18 August 2005 1273-2395-041 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Street and Accessway Standards This section refers to the area plan for the functional street classifications and streetscape layouts. Recommendation For Downtown Tigard, this section can refer to the Future Transportation System Technical Memorandum incorporated as part of the Tigard Downtown Improvement Plan for a description of functional street classifications and streetscape layout options. Design Evaluation For Washington Square, this section refers back to the design evaluation process established for the Tigard Triangle, so the Tigard Triangle process is evaluated here. In summary, the design evaluation section allows for an applicant to either demonstrate compliance with all of the applicable design standards and go through the typical review process with the City, or to ask for modifications to design standards and be reviewed by the Design Evaluation Team (DET). The DET is comprised of three architectural and engineering professionals contracted with the City to evaluate design standard modification requests. A different process and fee apply to DET review. Recommendation The established process used for Washington Square and the Tigard Triangle is appropriate for Downtown Tigard because it makes use of an existing process for efficiency and allows for flexibility in the application of design standards. J. MEASURE 37 The recent passage of Measure 37, requiring waivers of regulations or compensation to property owners if regulations have the effect of reducing a property's value, presents a challenge to every Oregon jurisdiction, as communities are still determining how to address it. Accordingly, the potential "Measure 37 impacts" of the Improvement Plan have yet to be addressed. It is recommended that this issue be addressed by the City in consultation with the state, Metro, and other local jurisdictions as soon as possible. Once Measure 37 issues are addressed, the Improvement Plan may need to be revisited if adjustments appear to be required. G. SUMMARY AND PREFERRED TIMING 6.1.1 Preferred Timing Several steps are needed in order to incorporate the recommended changes into the Comprehensive Plan and Community Development Code. These general steps are identified below and a recommended time frame is provided. August 2005 1273-2395-041 19 Tigard Downtown Improvement Plan Land Use Technical Memorandum City of Tigard Table 6 Implementation Timing Action Year I Year 2 Year 3 Refine and Adopt Overlay Zones ✓ ...............................................................................................................................................................................................................................................................................................................:.............................................:........................................................................................... Measure 37 Analysis of Zoning Recommendation ✓ ...............................................................................................................................................................................................................................................................................................................:......................................................................................................................................... Refine Comprehensive Plan Policies ✓ ...............................................................................................................................................................................................................................................................................................................:......................................................................................................................................... Adopt refined Comprehensive Plan Policies ✓ ........................................................................................................................................................................................................................................................................................................................................................................................................._............................................. Refine Base Zones, Design Standards, and Development ✓ ✓ Standards ...................................................................................................................................................................................................................................................................................................................................................................................................................................................... Adopt Base Zones, Design Standards, and Development ✓ Standards The overlay zones, especially the Green Corridor/Urban Creek overlay zone, need to be in place as soon as possible to provide protection of the land to be used for the urban creek from future development. Concurrent with the adoption of the overlay zones, the City will need to conduct a Measure 37 analysis of the recommended zoning for Downtown Tigard. Following these actions, adjustments to Comprehensive Plan should be refined and adopted to set the framework to guide the future refinement and adoption of the changes to the Community Development Code. 6.1.2 Summary This memorandum provides analysis and concept level recommendations for adjusting the existing regulatory framework to facilitate development of Downtown Tigard as recommended in the Improvement Plan. In general it was found that no insurmountable barriers to the Downtown Improvement Plan are present, and existing zoning districts can be used as models with modifications to accommodate the unique character planned for Downtown. It was also found that more specific guidance for uses and development standards is needed in order to ensure that Downtown develops according to the Downtown Improvement Plan. Recommendations are provided for new base zones, overlay zones, and design standards, minor adjustments to the Comprehensive Plan, and relatively minor adjustments to the existing specific development standards. 20 August 2005 1273-2395-041 r-7 ova a � � T J -xnroLL 0p r �`S9.ST �Q o . r V F`6 OoCt '4r /i/ TC- TGA TC- TC- TC- GREEN J/ CORRIDOR AN C EK MUE-2 CBD MUR-1 MUR-2 MUC URBAN CREEK OP s ACE OVERLAY VE LA a PROPOSED TIGAR@.- aids§t;l2d,'k.I,--Kul fE9+t7'o" li"L-daN ZONING O o J 0 � `•� MMF O ST , O 7 O D O PSS Do JZ El i O \ O �p o � E� O 9 2�y0 L:3 Oo � S \`C) R- 1 J IJj O � o � � Q!Q � ❑ �q j City of Tigard LIa � � ------OVARA-ST----- 1 inch equals 290 feetTzz: :E�iii Legend *mSwo River Single Family Commercial Industrial Services(roofing,etc)® Research and Development Park DBuilding Footprints Single Family Attached(duplex) Commercial/Industrial Manufacturing/Production Wholesale sales Vacant Parcels Multi-Family Commercial/Institutional- Warehouse/freight movement Institutional Government This product is for informational purposes endmaynot have gorsurbein purpoed for ses. TIGARD DOWNTOWN IMPROVEMENT PLAN engineering or surveying purposes.Users EMLE] of this information should review or consult LAND U S E the primary data and information source to ascertain the usability of this information. IParaimetrix JOHNSON G A R D N E R DATE: June 14, 2005 TO: Dave Siegel PARAMETRIX Barbara Shields CITY OF TIGARD FROM: JOHNSON GARDNER,LLC RE: Funding Strategy for the Downtown Improvement Plan MEMORANDUM I. INTRODUCTION The City of Tigard's Downtown Improvement Plan envisions a revitalized downtown core,with a mix of uses and improvements in the study area that are unlikely to be realized without some level of public intervention. A mix of catalytic and branding projects have been identified as desirable as part of the planning effort. The purpose of this memorandum is to identify incentives, initiatives, and investments that can help the City realize these projects. This memorandum provides a general description of potential tools available to assist in implementation of the plan. It also provides specific recommendations with respect to appropriate funding sources for the eight identified catalyst projects. The funding strategy is based upon information presented in the existing conditions report prepared earlier in this analysis, and is primarily focused on the identified catalyst projects. The term "catalyst project" is used within this analysis to refer to projects having the ability to substantively alter the development environment in the study area. These projects represent key components of the overall plan, and their development would be expected to serve as a catalyst for development in the study area consistent with that outlined in the plan. In addition to the catalyst projects, a series of downtown improvements were also identified as part of this project, referred to as "Brand Tigard" projects. These are seen as being important to generating and maintaining public interest and momentum in the area and are supportive of the catalyst projects, with many of the Brand Tigard projects incorporated into the catalyst projects. The development of both the catalyst and Brand Tigard projects was done through the Downtown Task Force. Three working groups were formed as part of this evaluation, which were used to: ❑ Help us identify the types of catalyst projects that might stimulate investment and that were appropriate and pertinent to Tigard... uniquely Tigard; 520 SW SIXTH AVENUE,SUITE 914 PORTLAND,OR 97204 503/295-7832 503/295-1107(FAX) ❑ Help us identify the types of smaller projects that might help generate and maintain interest in downtown; and ❑ Discuss potential funding sources with an eye toward suitability for application in Tigard. This memorandum reflects the work of the consultant team and Downtown Task Force to identify a series of projects and improvements to stimulate development activity and to generate and maintain momentum over time in the study area. The catalyst projects are ordered in a sequence that the consultant team felt was appropriate. The memorandum recommends methods of financing at a broad level for the catalyst projects. Some of these are readily available to the City, while others would require actions on the City's part to implement. The following is a brief summary of financing mechanisms discussed: City Funding Dedicated Staff Time General Fund Gas Taxes Water Quality/Quantity Fund Parks Capital Fund Grants Metro Transit Oriented Development Grants System Development Charges (SDCs) SDC credits Pro e Tax Abatements Vertical Housing Abatement Urban Renewal Tax Increment Financing(TIF) Improvement Business Improvement District(BID) Districts Local Improvement District(LID) Economic Improvement District(EID) II. RECOMMENDED IMPROVEMENTS AND COSTS A total of eight major catalyst projects were identified as part of the Downtown Improvement Plan. The smaller, Brand Tigard projects identified by the Task Force are supportive of the catalyst projects, and have largely been grouped with them. This section summarizes these projects, and discusses implementation steps necessary and potential funding mechanisms we feel would be appropriate. The projects are addressed in order of priority or phasing, based on the consultant team's professional opinion. 1. Streetscape Enhancement Program The improvement program would include streetscape design and street function improvement for Burnham, Main, Commercial, and Scoffins, and gateway/portal improvements at Scoffins, Main, Garden Place, and Tigard Street. Improvement would include: ■ Aesthetic enhancements to streets and the area between the curb and the building facades. ■ Streetfurniture ■ Lighting ■ Signage FUNDING STRATEGIES PAGE 2 ■ Landscaping ■ Public Art ■ Decorative pavers Streetscape improvements enhance the public space environment, and can provide a cohesive theme and sense of place identifying the district. Increasing the attractiveness of the public spaces has a positive impact on local properties, and can encourage cross shopping and more extended stays in the district. Implementing this item is relatively straightforward, with funding provided by the City or by a targeted improvement district. The City's current Capital Improvement Plan (CIP) includes a number of targeted improvements, with additional improvements most appropriately provided through future CIPS, locally-applied System Development Charges (SDCs) and improvement districts. Cost Factor Public Private Funding Streetscape Enhancements: ✓ ✓ City(general fund,gas taxes), •Finishing materials Local Improvement District, •Landscaping approach Business Improvement District, •Signalization System Development Charges, •Signage Tax Increment Financing Storefront Improvement ✓ ✓ City(general fund),Tax Program I Increment Financing This effort could be bolstered by a storefront improvement program,providing matching funds or design assistance to property owners wanting to upgrade their storefronts. In addition, there has been a consistently expressed desire to accommodate the Farmer's Market in the area, and this project would include this effort. 2. Green Corridor/Urban Creek The Urban Creek is the supporting structure that connects the two anchors of Fanno Creek and the Regional Retail Area at Hall and 99W. It is comprised of a natural appearing creek,pedestrian walkways, service road, and landscaping. The Urban Creek is integrated with new and existing development, providing an alternative "front door" to redeveloped properties along its length. Depending upon final design, it could serve as a public amenity, stormwater conveyance/treatment method, and development stimulant while connecting Downtown areas. The envisioned project may be comprised of a natural-appearing creek or linked water features, depending upon the outcome of a more detailed feasibility study. This project would have an organizing impact on the study area, defining a clear east-west pedestrian link and providing an amenity that future development can capitalize upon. We would anticipate that future projects bordering the green corridor would orient activities to take advantage of the amenity value. In addition, the project helps to establish a unique identity for Downtown Tigard. Implementing this catalyst project will require a more detailed feasibility study, establishing a preferred location, preliminary engineering and a detailed phasing/financing plan. The following matrix outlines the likely funding sources for portions of the implementation: FUNDING STRATEGIES PAGE 3 Public Private Funding Feasibility Study ✓ Grants,Government partnerships,City(General Fund),Sewer/Water Funds, Improvement District,Tax Increment Financing Acquisition ✓ Same Rail and street crossings ✓ Same Public Art ✓ Same Interpretive features ✓ Same Stormwater conveyance ✓ Same 3. Hall Blvd. Regional Retail This key gateway with its prominent visibility from Hwy 99W will be developed with regional mid-sized retail with parking and a public plaza space. The purpose will be to pull people into Downtown and start to draw them further to Main, the Green Corridor, the "Heart", etc. and to jumpstart development in the area. Planned intersection improvements at Hall Boulevard and Highway 99W will require public acquisition of some key properties, and may provide an opportunity to offset some of the costs of this project. The project will require a complex assemblage of parcels. Identified actions necessary to implement the catalyst project are as follows: ■ Contact Property Owners to Ascertain Interest/Issues ■ Feasibility Study/Programming ■ Pursue or Facilitate Assembly of Parcels ■ Solicit Developer Interest ■ Potential condemnation if necessary ■ Brand Tigard Projects: The design and development of gateways and a landmark icon on Main Street to attract attention to the area This project would offer a number of benefits for the study area. It would create a strong entry statement for the district from Highway 99W and Hall. In addition,the project could be designed with linkages to the remainder of the study area, generating activity and adding amenities that would be valuable to future development activity in the study area. Implementation would require the following: ■ Determination of ownership of the parcels in question; ■ Preparing a feasibility study regarding viability as well as most appropriate approach for the City to take; ■ Gaining control of the parcels, either by the City or a developer; ■ Solicitation of developers; and ■ Negotiation of a public/private partnership if needed We expect that facilitating this development may require assembly of the parcels, a task requiring a considerable financial commitment. The following matrix outlines recommended funding sources for implementation. FUNDING STRATEGIES PAGE 4 Public Private Funding Contact Property Owners ✓ City(Staff Time or funding for consultant) Feasibility Study ✓ City(Staff Time or funding for consultant) Assemble Parcels ✓ Tax Increment Financing Facilitate Assembly ✓ ✓ Staff Time Developer Potential for City participation ✓ City(Staff Time),Tax in public improvements with Increment Financing private developers Solicit Developer ✓ City Staff,Tax Increment Financing Development 1(5%) ✓(95%) Staff Time,private funds, Tax Increment Financing Urban renewal funds can be used to offset City staff time directly related to the qualified activities in the district. 4. Downtown Housing Development The plan anticipates creating more housing of various types in several locations in Downtown. The intent is to bring more people into Downtown as their home, which will activate the Downtown throughout the day and create demand for more services. Implementation steps identified include the following: ■ Develop Housing Program/Determine tools to be made available ■ Adopt policy and guidelines to encourage residential development ■ Research and develop funding sources ■ Brand Tigard projects that help create an amenity for downtown housing, such as the creek clean up and the linear park along the railway Housing development in the downtown will provide a number of benefits, including increased support for local services such as retail. In addition, residential development can provide a greater number of "eyes on the street", increasing the perception of security in the district. Residential development in the area is also supportive of transit, and can capitalize on the planned commuter rail line. Implementation will require adoption of a series of housing policies for the district, as well as coordination of tools available to encourage the development of desired housing types. The City will need to develop policy guidelines, as well as to allocate adequate staff time to pursue housing opportunities in the study area. A key component of developing a housing program is developing a Housing Strategy. This type of analysis identifies local housing issues, identifies tools available to encourage or direct housing development in the area, and develops a series of policies to guide public involvement in future housing projects. Initial steps are expected to be largely funded through the City, with various types of assistance offered to incent new residential development in the area. FUNDING STRATEGIES PAGE 5 Cost Factors Public Private Funding Develop Program ✓ City Staff the Program ✓ City Policy Guidelines ✓ City Solicit/Evaluate Projects ✓ City Develop Projects ✓ Abatements, System Development Charges, Waivers,Tax Increment Financing(Urban Renewal), Private funds It should be noted that housing programs often take years to realize a development, but it is important that policy guidelines are established early to determine if projects are consistent with goals and to determine the appropriate incentives. 5. Ash Avenue Downtown Improvement This project provides for street and public space improvements to Ash Avenue between the planned Park and Ride and the Fanno Creek floodplain. Improvements will include a new bike and pedestrian bridge, an overlook area for Fanno Creek and the extension of Ash from Burnham to the Park and Ride. The City has committed funds for design, right of way acquisition, and roadway improvements to Burnham(see Table 3,page 13). Improved linkages between the Fanno Creek open space and downtown Tigard have consistently been cited as desirable by the Downtown Task Force, and represent a key component of the plan. These improvements have positive impacts similar to those outlined in the streetscape enhancement program, with this project also directly targeting an important linkage between the floodplain and the commuter rail Park and Ride. As with the streetscape enhancement program,implementation of this project is relatively straight forward. The project needs to be designed, the right of way acquired and improvements funded. The primary funding mechanism for this work is expected to be direct City funding through the annual Capital Improvement Program(CIP). Cost Factors Public Private Funding Design/Engineering ✓ City(CIP) Right of Way Acquisition ✓ City(CIP) Construct Improvements ✓ City(CIP)/Transit Oriented Development Grants,Tax Increment Financing FUNDING STRATEGIES PAGE 6 6. Fanno Creek Public Area The plan envisions creating a community amenity that acts as a gathering spot while respecting the natural environmental character and needs of the Fanno Creek area. The City has a number of current commitments in the area, including: ■ City of Tigard's Fanno Creek Park Enhancement Plan restoration projects planned through 2007—primarily vegetation management ■ Design,ROW acquisition, and roadway improvements to Burnham ■ Land Acquisition for Fanno Creek Public Area(Area#2—Downtown Revitalization) (Proposed 05-06) The Fanno Creek area has consistently been identified as a key amenity in the district, with considerable emphasis in the plan dedicated to increasing linkages to Fanno Creek from the remainder of the study area. Creating an attractive public area adjacent to the natural environment surrounding the creek will work towards further capitalizing on this amenity, for both the district as well as the City of Tigard. Implementing this catalyst project will require preparing a series of plans and assessments, providing programming input for the space, environmental assessment and design work. Funding is expected to largely be derived from the City as well as through bonds and private donations. Cost Factors Public Private Funding Environmental Studies ✓ City(General Fund),Tax Increment Financing Program Needs Assessment ✓ ✓ City(General Fund)/Patrons,Tax Increment Financing Develop Program ✓ ✓ City(General Fund)/Patrons,Tax Increment Financing Run Bond Measure Campaign ✓ ✓ City(General Fund)/Private Backers, Tax Increment Financing Acquire/Construct ✓ ✓ Bond/Private Donations/Metro Open Space Grant,Tax Increment Financing 7. Performing Arts and Community Recreation Center Development of a Performing Arts and Community Recreation Center is seen as an opportunity to create a community gathering place for the arts and activities in the "Heart" of Downtown that links visually and physically with the Fanno Creek Public Area across Burnham Street. The purpose would be to bring day-round activity to the Downtown"Heart" and provide a community gathering space while stimulating patronage of complimentary uses (e.g. restaurants, coffee shops, etc.) FUNDING STRATEGIES PAGE 7 A number of actions would be necessary to realize this project, including the following: ■ Survey needs of public for facility ■ Develop program guidelines for facility ■ Run bond measure campaign ■ Brand Tigard Projects: Creek clean up to provide space for smaller outdoor performances to gain interest and momentum, or a landmark icon on Main could draw attention to this area Development of this Center would provide a strong activity generator,both during the day as well as evenings. Activity associated with the Center would provide support to local restaurants and retailers, as well as providing an amenity to residents. In addition, activity associated with the Center would raise awareness of downtown Tigard and the opportunities available there to shop, live and work. Funding for this type of project is typically done through a combination of City funding, bond issuance and private donations. Implementation often takes a number of years, and involves developing a program, preliminary designs and then running a bond measure campaign for the facility. A parallel process is typically undertaken on the private side to raise funds from private and corporate donations. Cost Factors Public Private Funding Public Survey ✓ ✓ City(general fund)/Patrons/Tax Increment Financing Develop Program ✓ ✓ City(general fund)/Patrons/Tax Increment Financing Preliminary Design ✓ ✓ City(general fund)/Private Backers/Tax Increment Financing Run Bond Measure Campaign ✓ ✓ City(general fund)/Private Backers/Tax Increment Financing Acquire/Construct ✓ ✓ Bond/Private Donations/Tax Increment Financing 8. Relocating Post Office The plan calls for shifting the Post Office location from Main Street to the border between the "Heart" and the Civic District. The purpose would be to soften the transition between the"Heart' and the Civic District while freeing up valuable retail space along Main Street. The current Post Office location is owned by the USPS, and the agency would need to approve any suggested change of location. The primary motivation for relocating the Post Office is that the current facility is not seen as being supportive of desired activity on Main Street. While the post office draws regionally and can generate a substantial level of traffic, this activity is not typically seen as linking with other desired commercial activities on Main Street. The consultant team and Task Force feels that relocating the facility to a location with better access and that is less disruptive to Main Street would encourage development patterns consistent with those outlined in the plan. FUNDING STRATEGIES PAGE 8 Implementation will require approaching the Postal Service to initiate an internal evaluation of the proposed relocation, and associated costs. The City may need to contribute towards the relocation costs if the Postal Service does not find that the relocation is cost effective or operationally beneficial. Cost Factors Public Private Funding Approach Postal Service&build ✓ Staff Time partnership Determine Program ✓ Postal Service/City (General Fund) Acquire/Construct ✓ Postal Service/City (General Fund)/Tax Increment Financing Main Street site programming, ✓ Private Funds/Tax planning,engineering,construction Increment Financin Estimated Cost of Catalystjects The series of eight catalyst projects will require a substantial amount of investment to be realized. At this time, it is extremely difficult to ascertain reliable costs for the projects, as detailed engineering and costing has not been completed. In addition, a number of involve public-private partnerships, and little detail is available regarding the specific projects. Most of the initial funding needs for the catalyst projects are associated with design and engineering studies. The following is a brief summary of funding needs by general timeframe: FUNDING STRATEGIES PAGE 9 SUMMARY OF CATALYST PROJECTS AND PLANNING LEVEL FUNDING REQUIREMENTS General Timing Description 1-2 Years 3-5 yem 5+yean Comments Streetscape Enhancement Program $500,000 annually[l] $300,000 annually $200,000 annually The costs of these improvements will be a function of final design and scope.This effort could be bolstered by a storefront improvement grant program,providing matching funds or design assistance. Green Corridor/Urban Creek $225,000 for initial design and Funding of right of way Construction of project The final design,route and related acquisition costs are engineering study acquisition all variables that would need to be known to generate a reliable cost estimate. Hall Boulevard Regional Retail $30,000 for dedicated staff Property acquisition,Developer At this point,we do not know the cost of assembly and time,Feasibility and Design Selection the disposition of relevant property owners. If Studv$100,000f21 assembly is possible at market rates,then this may not re uire a substantial public investment. Downtown Housing Developments Housing policy study— $30,000 in annual staff time to $30,000 in annual staff time to The cost of these projects will be a function of how $60,000,$30k in annual staff run program,Develompent run program,Develompent many projects and the extent to which the City desires time to run programf3l Incentives f31 Incentives to vary from the market. Higher densities under current market conditions will require a greater level of subsidy,but shifts in pricing may alter that relationship. Ash Avenue Downtown Property Acquisition$800,000 Construction of improvements The project has been designed,with acquisition costs Improvements estimated for right of way improvements. Fanno Creek Public Area Leverage off of usage program Bond Measure Campaign The costs of these improvements will be a function of for Performing Arts,Design $50,000[3] final design and scope.Hold off on current City Plan$100,000 commitments until plan is done. Performing Arts and Community Feasibility/Usage Program Bond Measure Campaign The final program and siting for this project will Recreation Center $100,000 $50,000 determine pricing. Public investment will also be a function of the level of private donations that can be coeratcd. Relocating Post Office Initiate proposal to Postal Negotiated Relocation Costs Negotiated Relocation Costs If possible,the cost of this will be negotiated between Service[41 the USPS and the City. Total $2,505,000 $1,090,000 P] The nature,extent and quality of streetscape improvements will vary by individual transportation projects,and actual costs cannot be determined until a specific project is designed.Some of this cost maybe borne by an improvement district or other entity [2] Depending upon the viability and cost of assembly,this project may require additional funding for development assistance to be realized. [3] Urban renewal funds can be used for this program. Additional funding maybe necessary if incentives are offered. [4] The Postal Service may require some level of financial assistance to facilitate the move. FUNDING STRATEGIES PAGE 10 Within the preceding tables, a substantial level of staff time has been allocated to project implementation. Another alternative for the City is to utilize consultants for some of this work, funded either directly by the City or through Urban Renewal(Tax Increment Financing). The availability of Tax Increment Financing through an Urban Renewal District will be a key determinant in the timing and viability of many of these catalyst projects. The funding requirement for some of these projects is substantial, and finding alternative sources of funding at appropriate levels will be difficult. III. INCENTIVES TO CATALYST PROJECT DEVELOPMENT Framework for evaluatingtools ools The Downtown Improvement Plan envisions a series of projects, many of which can be directly implemented by the City. For these projects, the primary issue is identifying available funding. The more complicated projects also involve participation of the private development community, and the City will need to direct to the extent possible private development activity to meet public sector objectives. In general, policies to impact development in the study area can be organized into two categories: incentive-based approaches and regulatory approaches. The incentive-based approaches are typically voluntary and offer various `carrots' to developers to encourage them to develop targeted project. Regulatory approaches are not voluntary. The City can require that developers meet development objectives through mandated policies. Alternative tools can be evaluated using the following three criteria: • Effectiveness.How great an effect is the policy likely to have on increasing density, given the likely range of its application and the existing policy framework in the Metro region? • Cost.What will it take to implement the policy? • Equity.Who is likely to pay that cost? Incentive-based approaches Table 1 summarizes the different policy tools government can use to make it easier for developers to do what elected officials, and the citizens they represent,want. The table is organized from the least direct to the most direct incentives. The first two allow the targeted development to occur. The next three provide guidance or information that facilitates development. The next three provide financial incentives through regulatory relief—not a direct transfer of funds,but a means of allowing a developer to keep more of its financial resources. The final five provide direct financial assistance to developers. FUNDING STRATEGIES PAGE 11 TABLE 1: INCENTIVE BASED APPROACHES Policy Mechanism; Effect on Density Cost Who Pays ED Comments Increased permitted Allows densities at higher These types of approaches Small:requires Taxpayers through density level than previously only work if density limits change to zoning local government Density bonus allowed are below what the market code Development rights determines in the highest and best use. transfer Mixed-Use zoning Allows flexibility to mix Weak:May or may not Small:requires Taxpayers through uses.This policy can be increase density. change to zoning local government either an incentive code ("allow")or a regulation ("require") Policy Mechanism; Effect on Density Cost Who Pays Comments Regulatory relief:fee Wide range:reduces Strong:direct effect on the Moderate to high: Taxpayers through reduction SDCs,building fees, cost of development loss in revenue to local government exactions,etc. local government Regulatory relief: Wide range:allows Strong:increases density Small:requires Taxpayers through design standards narrower streets,less directly and can decrease change to zoning local government parking,smaller setbacks, developer costs by code less landscaping increasing revenue- generating space Land assembly Acquisition,by voluntary Strong:increases Moderate Taxpayers through negotiation or eminent marketability of downtown local government domain,of contiguous for development parcels to create large community developable tracts Subsidy for Direct grants or guaranteed Strong:direct effect on the High:significant Taxpayers through development/public or low-interest loans for cost of development use of public funds local,state,or federal investment land,infrastructure, government parking,etc. Financing tools Property Tax Abatements include Urban Renewal(Tax- Increment Financing) or non-local funding sources Property Tax Ten year property tax Increased net operating Modest;Short term Taxpayers through Abatements abatement for qualified income or achievable sales loss in property reduced assessed residential and mixed-use prices,enhancing return taxes can be offset valuation for local development and allowing for higher by long term gain service providers density. in value. Low Income Housing Tax credit program Can improve the viability Low:federally HUD Tax Credits administered by OHCS of rental housing projects funded Source:ECONorthwest and Johnson Gardner,Metro Urban Centers:An Evaluation of the Density of Development, July 2001. Many of these approaches are not necessarily focused on increasing density, but on encouraging redevelopment and infill. Redevelopment and infill are important because of the already developed landscape in downtown. It is possible, however, that new development in downtown could continue to be at lower densities than the 2040 Center design type describes without incentive or regulatory-based intervention. FUNDING STRATEGIES PAGE 12 Regulatory approaches Table 2 summarizes the different policy tools local governments can use to make it harder for developers to do what elected officials, and the citizens they represent,do not want. TABLE 2:REGULATORY APPROACHES Policy Mechanism; Effect on Cost Who Pays Side Effects Comments Density Minimum-density Requires that Strong: Requires fundamental Taxpayers through local Unless minimum density zoning development meet ensures minimum change to zoning code government for code or accurately reflects the some minimum expectations are met and comprehensive plan plan changes market,the regulations requirement for could drive some But can preclude any Reduces the value of Landowners lose value densitydevelopers to other parts development if land when it precludes if highest and best use market is not ready development of the was at the lower density of the region or outside for higher-density property under its zoning the region,where they development highest and best use can develop at lower densities. Phased Allows placement Strong:prevents Small:additional Taxpayers through local Limited,but no assurance Development of buildings to preclusion of higher planning,some higher government for that the higher densities allow future infill future densities but development costs planning will ever be achieved. allows development Developer pays for any to occur. additional costs of development Mandated mixed Requires Weak:may or may Small:requires change Taxpayers through local Shorter trips use commercial uses to not increase density to zoning code government More transit use mix with residential. Could reduce land Developers or property Potential conflict values if inappropriate owners if land values between uses for site. impacted. Source:ECONorthwest and Johnson Gardner,Metro Urban Centers:An Evaluation of the Density of Development, July 2001. Potential Local Financing Tools The previously outlined policies almost all require some level of financial commitment. The City has the ability to fund a number of projects identified as part of this project through their Capital Improvements Program(CIP), and have set aside over$1.8 million in the fiscal year 2005-06 CIP for projects in Downtown Tigard. FUNDING STRATEGIES PAGE 13 TABLE 3: FISCAL YEAR 2005-06 CAPITAL IMPROVEMENT PROGRAM CIP Project Catalyst Project Amount Land Acquisition(Area 2-Downtown Revitalization 1-2 acres) Fanno Creek Public Area $200,000 Downtown Streetscape Design/Phase I;Implemetation-Main Street Streetscape Enhancement Program $350,000 Downtown Improvements Streetscape Enhancement Program $150,000 Burnham Street-Design&Right-of-Way Streetscape Enhancement Program $300,000 Consolidation of Public Works Facilities D owntown H ousing D evelopment $500,000 Greenburg Rd/Hwy 99W Intersection-Feasibility Study Hall Blvd.Regional Retail $40,000 Fanno Creek Park Outdoor Exercise Trail Fanno Creek Public Area $15,000 Commercial Street Sidewalk(Lincoln to Main St) Streetscape Enhancement Program $250,000 Walnut/Ash/Scoffins Streect Connection Feasibility Study Ash Avenue Downtown Improvement $40,000 Total $1,845,000 Local governments and urban renewal agencies also have a variety of tools that can be used to finance urban renewal projects. The following information lists short explanations of the more commonly used tools that could potentially be used in the area. Urban Renewal District— Establishing an urban renewal district provides a number of tools to realize urban renewal projects. A more detailed description of urban renewal as a tool is included in this memorandum as Section IV. Bonds - Local governments and urban renewal agencies can issue a variety of debt instruments, known as bonds to finance public and private purpose projects. Bonds can only be used to finance capital costs; they cannot be used to pay for operating costs. If bonds are issued to pay for public improvements (such as streets, parks, public buildings, etc.) interest paid on the bonds is exempt from state and federal taxation, making them an attractive investment option. Tax exempt bonds generally carry interest rates lower than commercial bonds of similar credit quality. If bonds are issued to pay for projects which include elements that benefit private activities (commercial establishments or businesses), and that benefit is more than 10% of the bond issue, interest paid on the bonds will be taxable. Taxable bonds will carry higher interest rates than tax exempt bonds. There are three general types of bonds that may be used to finance projects within an urban renewal district: a. General Obligation Bonds — General Obligation Bonds must be approved by voters and are backed by the power of the issuer to levy a property tax to pay debt service on the bonds. Cities and counties are authorized to request voter approval for General Obligation bonds; urban renewal agencies are not. Because these bonds are backed by the power of the issuer to levy taxes, General Obligation bonds generally command the lowest interest rates. An example of a General Obligation Bond is the Library Bond approved by voters to build the new Tigard Library. FUNDING STRATEGIES PAGE 14 b. Revenue Bonds —Revenue Bonds are backed by the stream of revenue generated by a particular system or facility. Revenue bonds are generally considered less secure by bond markets because the promise to repay is based solely on the revenue- generating capacity of an identified facility or system. Interest rates are generally higher than those commanded by General Obligation bonds, and are very dependent upon the current and projected health of the revenue stream being offered as security. Jurisdictions that operate facilities or systems are authorized to issue Revenue Bonds without prior voter approval. Examples of revenue bonds include Water Revenue Bonds, Parking System bonds, and recreation System bonds. C. Tax Increment Bonds — Tax Increment Bonds are a specialized form of Revenue Bonds. Debt service is paid by the revenue stream from the "increment" generated by the district from normal growth in the district's assessed values and new development. Bond markets generally look for some history of increment generation before they are wiling to consider purchasing Tax Increment Bonds. Grants -A variety of state and federal agencies periodically issue grants which could be used for redevelopment purposes. Grants may be for general purposes (such as Community Development Block Grants — CDBG) or may be for very specific purposes. Grants may require local matches of cash or in-kind services, and often contain specific restrictions or requirements on use. Granting agencies will require reporting on grant-funded activities or projects, and some federal grants will contain provisions such as vesting ownership of any equipment purchased in the federal government. If grants are available, they are usually a good way of financing local projects. Business Improvement (BID), Economic Improvement (EID), or Local Improvement Districts (LID) - State law allows the creation of a variety of local districts that could overlay an urban renewal district. These special assessment districts allow local property owners to come together to form a district and to create assessments on properties within that district to achieve certain defined goals. BIDS and ElDs are generally used to pay for specialized operating or non capital costs (such as a higher level of street sweeping or police patrol or district-wide marketing efforts.) LIDS are commonly used by cities to install public improvements which are of special benefit to properties within a defined area. Tax Abatement- State law allows local jurisdictions to abate taxes for properties that meet certain requirements, which agree to engage in certain improvements, or which provide certain services. (For example, provision of low income housing.) Tax abatement can be a useful tool in helping projects assemble construction financing or cover ongoing operating costs, but when offered within urban renewal areas, may tend to offset growth in tax increment. Hotel/Motel Tax or Specialized Taxes - A Hotel/Motel (Transient Lodgings) Tax is a specialized tax that is levied on hotel and motel room rentals. Prior to 2003, Hotel/Motel taxes could be used for a variety of governmental purposed. The 2003 Legislature adopted a statewide Hotel/Motel tax and at the same time pre-empted any new local Hotel/Motel other than those dedicated to "tourism development." "Tourism development" may be broadly defined, but that would have to be researched to determine whether a local Hotel/Motel tax could be used to benefit redevelopment. FUNDING STRATEGIES PAGE 15 Authority for other types of specialized taxes (such as business taxes, local sales taxes, etc.) currently exists,but it is not clear whether any of these would be an option for Tigard. Development Impact of Alternative Tools A number of potential actions have been identified to encourage higher density development forms within the Downtown Tigard study area. This section addresses the tangible general implications of these actions, and their ability to affect final development forms. The following is a brief summary of the implications of potential actions on the general viability of projects. Reduce Planning and Information Costs The reduction of planning and information costs improves viability in a number of ways. Increased certainty regarding what will be approved and abbreviated approval timelines lower the level of uncertainty associated with entitlement, which lowers holding costs and may lower the required return parameters. This can have a substantial financial impact on the development, as well as lowering the required yield to induce new development. Land Assembly By assisting in land assembly, the City can reduce carrying costs as well as uncertainty. Development of some of the identified catalyst developments will require a complex assembly. Private sector developers are reluctant to initiate developments requiring complex assemblies, which would be required for some of the catalyst projects identified. The City can selectively use its powers of condemnation or strategic acquisitions to assist in providing developable sites consistent with public policy objectives. Direct Grants/Parking Subsidy These types of actions have a direct impact on the bottom line, delivering a large impact but at a large cost. The present value of grants is fairly straightforward to calculate, as is removing the cost of structured parking from a project. Low interest loans provide a number of benefits. First of all, they typically reduce the equity requirement for the project, with equity carrying a relatively high cost for the development. This can be through a better debt coverage ratio associated with lower-cost funds, and/or a lower equity requirement per the terms of the debt. A commonly used tool is subordinated or second position debt, which is debt secured by a second position in the property. This can be used to reduce equity requirements. This type of debt is not typically available in the market, as it is not adequately secured by real property. Tax Abatement Measures to reduce ongoing property taxes w . have a significant impact on viability. Tax Assessed Value(AV) $160,000 abatement programs are the most commonly Taos Rate 1.50% used of these types of measures, typically with Annual Property Takes $2,400 a term of ten years on qualifying projects. As AbatenEnt Period/Yeers 10 shown in the table to the right, a ten year tax Assumed Escalation Rate 3.0% abatement has a discounted value roughly Total Value $27,513 equal to between 11% and 12% of assessed Amimed Discount Rate 10% Present Vaiue(Discounted) $18,173 Present Value'Aseesmd Value 11.4% FUNDING STRATEGIES PAGE 16 value. For an income property such as a rental apartment project, this value is realized directly by the developer. For a condominium unit, the abatement goes to the purchaser, and the developer needs to realize a pricing premium on the unit consistent with the value of the abatement. Two programs are currently available under Oregon State law, for multiple unit housing (ORS 307.600) and vertical housing (ORS 285C.450). Low Income Housing Tax Credits HUD, through the State of Oregon's Housing and Community Services, provides tax credits for affordable housing Qualified Cost $90,000 projects. These credits significantly Credit Percentage 4.00% improve the viability of many rental Credit Period/Yea's 10 projects, despite limits on rents that can be Total Value $36,000 Assumed Dismunt Rate 12/0 charged. As shown in the table to the right, Present Val ue(D i smunted) $22,782 the present value of a 4% tax credit can be Present Value/Qualified Cost 25.3% equal to a quarter of qualified cost. While qualifying projects typically must demonstrate a rent advantage relative to what is achievable in the market,the program still provides for a net boost in viability. IV. URBAN RENEWAL DISTRICTS While a variety of funding options and policies have been discussed in this memorandum, by far the tool with the greatest ability to generate substantial revenue for targeted investments is establishing an urban renewal district. The projects outlined in the plan will likely require a substantial public investment, and an urban renewal district is one of the few tools available that can generate adequate revenue to realize the vision. The basic idea behind urban renewal is simple: future tax revenues pay for revitalization efforts. A jurisdiction adopts an urban renewal plan which includes a line around an area it finds to be in need of public investment (the urban renewal boundary) and necessary improvements within that area. The urban renewal agency then issues urban renewal bonds to pay for the identified improvements. (The amount of bonds issued is usually limited by the typically low tax increment revenues available at the beginning of an urban renewal plan.) As property values increase in the area due to new investment, the rise in property tax revenues (called "tax increment") is used to pay off the initial urban renewal bonds and to support additional bonds. This financing method is called tax-increment financing, and it is the most common method of paying for improvements in an urban renewal area. FUNDING STRATEGIES PAGE 17 Urban renewal funds can be used for a variety of investments, such as: Redevelopment projects; Economic development strategies, such as small-business loans or loan programs; Housing loans and other financial tools for ownership and rental housing; • Streetscape improvements, including new lighting, trees, sidewalks,pedestrian amenities, etc.; Transportation enhancements, including light rail, streetcar, intersection improvements, etc.; • Historic preservation projects; and Parks and open spaces. Urban renewal is a way to focus resources on a particular area, and to use public resources to stimulate and leverage much larger private investments. Specific public-improvement projects can come about as a result of local, state and federal grants, private investment and donations, city general fund allocations and other sources of public financing. Each of these options has its particular drawbacks. Competition for projects funded by the city's general fund is intense. Grant money is similarly competitive, time-consuming to obtain, and usually arrives with strings attached. Tax-increment financing is a simple and reliable financial tool. The Downtown Task Force Funding Working Group recommended further investigation of establishing an urban renewal district to generate dedicated revenues to pay for needed improvements in Downtown Tigard. The Tigard Charter currently prohibits any renewal districts without a citywide vote. The following is a brief overview of the general advantages and disadvantages of urban renewal: Advantages: ■ Creation of a dedicated funding source that grows with growth in assessed values in the urban renewal district and that can be used to pay for needed improvements. ■ Public improvements paid for by urban renewal will spur private investment that will further increase values in the district, and will accommodate job and housing growth ■ Once the urban renewal plan is accomplished and all bonds are paid off, the assessed value is returned to the general tax rolls and help pay for citywide service. Disadvantages: ■ Urban renewal "locks up"growth in assessed values during the life of the urban renewal plan, thereby limiting growth in tax revenues for all overlapping taxing jurisdictions. ■ Urban renewal mechanics are complicated and difficult to explain to the public in an election setting. ■ Creation of an urban renewal district requires the active support of major property owners within the proposed district. ■ Urban renewal requires a vote and approval by the citizens of Tigard. A commonly asked question with respect to urban renewal districts is their impact on other taxing entities, most notably schools. Urban renewal does not directly affect a school system's operating budget because schools are funded by the state on a per-pupil instead of a property-tax basis. Other taxing jurisdictions' share of tax revenue from property inside the urban renewal area boundary is frozen for the length of the urban renewal area,usually 20 or 30 years. Because of the public investments made during that span, however, those taxing jurisdictions should see FUNDING STRATEGIES PAGE 18 substantial increases in future tax collections. Taxing jurisdictions also are protected from significant impact by state limits on how much of a municipality can be designated an urban renewal area. The formation of an urban renewal area does not result in new taxes. Urban renewal activities are financed by bonds. These bonds are repaid from the property taxes generated by the increase in value, over time, of properties within the boundary. Although property values within an urban renewal area are likely to rise, property taxes are based on assessed values, which are limited to a 3-percent annual rise in most cases. In urban renewal areas, public investment is used to stimulate private investment on a much larger scale. The amount of urban renewal funds invested in any one area is small compared to the private investment that follows. Urban renewal is primarily used to update and improve an area's infrastructure -- and to provide incentives for desired development such as affordable housing, family-wage jobs and building refurbishment. The result is that private investments pay for the lion's share of new building construction and renovation costs in urban renewal areas. V. RECOMMENDED FUNDING STRATEGY The most appropriate tools for the City of Tigard to use in accomplishing its objectives for the Downtown Improvement Plan are: grants(Metro Transit Oriented Development); land assembly; property tax abatements; and establishing an urban renewal district. A number of these tools are currently in place, or may be easily activated to generate revenue. There are one or two other tools that are not currently in place, and will require public approval to establish. Together, these tools and recommendations regarding priority and timing of activities to activate or establish them constitute the recommended funding strategy for carrying out the Tigard Downtown Improvement Plan. Many of these recommendations and activities will be incorporated within the Incremental Implementation Strategy proposed with the Downtown Improvement Plan. Available Tools As indicated above, Tigard has a number of financing tools currently in place, or easily activated to generate revenue. A list of these tools and the activities needing to be pursued to enable the City to generate the level of funding necessary to carry out the range of improvements recommended by this plan is provided below. ❑ Tool: Land Assembly o Action: Pursue land assembly of identified key parcels. o Time Frame: Immediate, and throughout the planning period. ❑ Tool: Tax Abatements o Action:Allow for property tax abatements for dense housing development,under the State's Vertical Housing Tax Credit Program o Time Frame: Immediate o Note: Can impact tax increment revenues in an urban renewal district. ❑ Tool: Grants (Metro, etc) o Action: Apply for Federal, State and Regional grants to help fund catalyst projects o Time Frame: Immediate and ongoing FUNDING STRATEGIES PAGE 19 Recommended New Tools For the reasons mentioned earlier in this memorandum, there are additional, appropriate financing tools that are not currently in place, and will require public approval to establish: Urban Renewal District and Improvement Districts (Business (BID), Economic (EID) or Local(LID)). The activities needing to be pursued to enable the City to generate the level of funding necessary to carry out the range of improvements recommended by this plan is provided below. ■ Tool. Urban Renewal District o Action: Prepare an Urban Renewal District Study,prepare campaign for City-wide vote o Time Frame: Immediate start, one to three years to implement if successful ■ Tool. Business or Local Improvement District o Action: A Business Improvement District recently failed to get the required 51% support. The need for these districts would be negated if an Urban Renewal District was in place. o Time Frame: One to Five Years VI. CLOSING COMMENTS It should be noted that implementing the recommended Downtown Improvement Plan is not reliant upon any one of the above funding sources being available. By way of example, it is clear that the use of urban renewal would provide the most significant source of funding for the development and redevelopment of Downtown Tigard; to create an urban renewal district requires voter approval, given the Tigard City Charter. Should the City pursue establishment of an urban renewal district and the action not be supported by the voters, the Plan would still be capable of being carried out. However, the length of time to generate other revenues to make the public investments needed to spur private investment would lengthen considerably. FUNDING STRATEGIES PAGE 20 Parametrix ENGINEERING.PLANNING.ENVIRONMENTAL SCIENCES 700 NE MULTNOMAH,SUITE 1000 PORTLAND,OREGON 97232-2131 T.503.233.2400 T.360.694.5070 R 503.233.4825 w .pammetrixxom M E M O R A N 0 U M Date: June 21, 2005 To: Barbara Shields, Long Range Planning Manager City of Tigard From: David M. Siegel, AICP Project Manager Subject: Community Involvement Technical Memorandum cc: Sonya Kazen, Associate Planner Oregon Department of Transportation Project Number: Project Name: Tigard Downtown Improvement Plan The purpose of this memorandum is to provide an overview of the community and stakeholder involvement process used to prepare the Tigard Downtown Improvement Plan (TDIP). This memorandum will address the overall organization of the public involvement effort, the process used to obtain public input, and a summary of public meetings and events held in association with plan preparation and refinement. Task Force Direction The City of Tigard has been involved in planning for the improvement of its downtown for several years prior to the initiation of the current effort in 2004. These earlier efforts included work by the Oregon Downtown Development Association, a community survey, and many meetings by the City's appointed Downtown Task Force. With the receipt of a grant from Oregon's Transportation and Growth Management Program for FY2004- 05, a work program was initiated for building upon the previous studies and working with the community to develop a downtown improvement plan and an implementing strategy for carrying it out. Accordingly, the City of Tigard, through its Downtown Task Force, directed the Parametrix consulting team in applying its expertise to help the community develop its vision and plan for improving Tigard's downtown. The planning process was to be open and transparent, and was to be the community's plan, not that of the consultant. As mentioned in the Technical Memorandum discussing the"Evolution of the Conceptual Design Plan", the TDIP process was evolutionary in nature. In this process, three successive iterations of a conceptual plan would be developed: an Initial Concept; a Refined Alternative; and a Preferred Design Alternative". This iterative process was informed by community participation throughout. Task Force and Public Participation Process The current effort to develop the Tigard Downtown Improvement Plan has been citizen-based, and has been led by the City's Downtown Task Force. Meeting on a monthly basis, the Downtown Task Force's meetings have been advertised and open to the public, and the public in attendance has been offered the (Rev.02/04) Barbara Shields, Long Range Planning manager June 21, 2005 Page 2 of 5 opportunity to participate in discussions and to offer comments and advice. The following discussion provides an overview of the major Task Force and public participation components of the planning process. The Task Force, working as a committee of the whole or in smaller"working groups," actively participated in the development of all facets of the Plan. In keeping with this direction, the monthly meetings of the Task Force were frequently supported by work sessions with the consulting team. The Downtown Task force conducted two rounds of smaller-group public meetings ("Community Dialogs")to discuss the plan and obtain comments and advice, reaching over 280 citizens in the process. Task Force members also actively participated in the two major public events conducted in support of developing the plan: the December 4, 2004, Workshop, and the April 23, 2005, Open House. Gettinq "Grounded" The Task Force launched the planning process by holding a walking tour through the study area with the consulting team in order to share perceptions, ideas and desires for what downtown Tigard might be like in the future. The Task Force members then took individual walking tours to identify places and features that would help form an opportunities and constraints map to serve as the foundation for an initial design concept. Task Force members were asked to identify: • Where were the"pathways": channels along which people customarily, occasionally or potentially move? • Where were the"edges": linear barriers that restrict lateral movement? • Where were the"districts": multiple-block"mini-neighborhoods" which people can go mentally inside of, and which have some common identifying characteristics or association? • Where were the"nodes": block-size or smaller"points" of concentrated activity through which people pass? • Where were the"landmarks": singular features that contrast with their background, occupy a prominent location or distinctly define a place? This activity and the information it generated helped prepare the Task Force for their smaller-group discussions with the public, described below under"Community Dialogs". Visioning Following the "grounding" and perception-sharing process, the consulting team worked with the Downtown Task Force in a workshop setting to develop a 20 to 30-year vision for Downtown Tigard. The following draft vision was generated by the Task Force: "Our vision of Downtown Tigard is a vibrant and active urban village at the heart of our community that is pedestrian oriented, accessible by many modes of transportation, recognizes and uses natural resources as an asset, and features a combination of uses that enable people to live, work, play and shop in an environment that is uniquely Tigard." To ensure the planning effort was focused toward achieving the vision, the Task Force developed a set of guiding principles reflecting desired outcomes. The guiding principles, also served as criteria against which the Task Force evaluated the success of the various iterations of the concept plan. These Guiding Principles are as follows: • The vision for an improved Downtown Tigard must reflect the community's values and cultures. • Downtown Tigard should possess the qualities essential to successful downtowns, including: Barbara Shields, Long Range Planning manager June 21, 2005 Page 3of5 o Extended hours of operation...not"folding at 5:00" o A mix of employment, retail, housing and cultural/entertainment uses o Providing a unique experience not available elsewhere in the community o Possessing a "sense of place"with a special identity o Being seen as the"center" or the "heart" of the community o A vibrant and compact core, accessible by all modes of transportation o A feeling of accessibility and safety o Accessibility in varied climatic conditions (e.g., throughout the various seasons of the year) • Downtown should recognize the value natural resources provide as both an amenity and as a distinct and special "place". • Planning for Tigard's Downtown should capitalize on commuter rail and Fanno Creek as catalysts for future investments and development. • The Downtown's transportation system should be multi-modal, connecting people, places and activities safely and conveniently. • Downtown Tigard's streetscape and public spaces should be pedestrian-friendly, and not visually dominated by the automobile. • The Downtown Improvement Plan should be forward thinking, with objectives and actions that will set the community up for future successes. • Downtown improvement projects should make creative use of unused and underutilized properties, while maintaining and building upon Tigard's history. • The Downtown Improvement Plan should be outcomes-based and action-oriented, with an array of key signature projects capable of being carried out. • City codes and regulations should enable the Downtown Improvement Plan's vision to be carried out, recognizing the difference between Downtown and other commercial centers. The opportunities and constraints information and the draft vision and guiding principles formed the foundation for developing a very preliminary design concept for downtown Tigard, which suggested potential key transportation (vehicular and pedestrian) linkages; locations for retail, housing and employment uses; and where opportunities existed for improving the overall access to and potential use of Fanno Creek. Community Dialogs As mentioned previously, the Task Force conducted smaller-group meetings with a variety of interest groups and stakeholders to explore issues, concepts and priorities for a future downtown. The purpose of the Dialogs was to engage the public in a structured, creative and well-documented conversation about the TDIP: its overall purpose, key products, and specific opportunities for public input. In October 2004, during the initial round of Dialogs, 26 public meetings were held by the Task Force and City staff to discuss and obtain comments on the project, opportunities and constraints, the vision and guiding principles, and the preliminary design concept. Following a workshop and several other special-focus meetings, a second round of 24 Dialogs was held in the spring of 2005 to again share information at the Barbara Shields, Long Range Planning manager June 21, 2005 Page 4 of 5 smaller-group level and obtain comments and advice on a much-refined concept plan, potential key projects, and initial ideas regarding plan implementation. Prior to each round of Dialogs, an outreach packet was prepared to assist the Task Force members in conducting them. These packets contained general background information, supporting graphics, and suggested questions and discussion points. The packets and summary of input from the two rounds of Dialogs are attached to this memorandum. Public Workshops Two major public events were held in conjunction with the plan development process. An initial public workshop was held on December, 4, 2004, to present the vision, guiding principles and plan concept, and to discuss and receive input on the"great ideas"that would eventually be fleshed out into key "catalyst projects"that would create a climate for investment and stimulate development. Following substantial further work on the plan, the Task Force held a second major public event, a community open house, on April 23, 2005. This event focused upon sharing the Preferred Design Alternative with the public, discussing how the plan could be financially implemented, and providing an overview of the next steps in completing the plan. The open house featured a panel with Tigard Mayor Craig Dirksen, Washington County Board of Commissioners Chair Tom Brian; State Rep. Larry Galizio, Metro Councilor Carl Hosticka, ODOT Region 1 Planning and Development Manager Robin McArthur, and TriMet Executive Director of Capital Projects Neil McFarlane. The speakers discussed potential sources of funding, the intergovernmental and public-private partnerships required to carry out the plan, and how citizens could play a role. Special-Purpose Outreach As the project progressed, it became apparent that the project, stakeholders and the community at large would benefit from additional, topic-specific outreach and communication. Accordingly, the scope of the project was amended to accommodate three special-purpose outreach forums to address: • Coordination of multi-agency transportation issues; • The role of Ash Avenue and its potential extension across Fanno Creek; and • The development feasibility of the proposed plan concept. Memoranda providing an overview of these three forums (and summary meeting notes) are attached to this document. Communications Materials Other communication media were employed to disseminate information regarding the TDIP and how to get involved, and are discussed below. Interested Parties List: Beginning with the spring 2004 survey, the City built an extensive Interested Parties list to provide meeting and event notification. At the present time, the list consists of 235 mailing addresses and 129 e-mail addresses. Each party received a copy of the next agenda; those on the regular mailing list also received previous meeting minutes. In addition, the Task Force and City produced an informational brochure to promote the process, which was distributed throughout the community. Notification: The City submitted press releases to the Tigard Times and the Oregonian prior to Task Force meetings and events. This effort resulted in regular news briefs and calendar listings, including profile and feature articles focusing on the Task Force's efforts. Meeting notices were also included in the Community Connectors e-mail list sent out by the City; in the City's newsletter, Cityscape; and posted as part of the monthly TVTV cable show"Focus on Tigard." Public Access to Information: The City maintained an active website for the TDIP (www.ci.tigard.or.us/downtown). Meeting notices, agendas and minutes; and materials from the Dec. 4 Barbara Shields, Long Range Planning manager June 21, 2005 Page 5 of 5 Workshop, Community Dialogs, and April 23 Open House are posted and archived at this site. All the Design Concepts are posted for the public's access and review. Special Events: For the Workshop and Open House and special events, the City also notified property and business owners in the Central Business District, and submitted notices to the Tigard Area Chamber of Commerce for their weekly fax and newsletter. Additionally, the area's Citizen Participation Organizations were notified. Written summaries of additional structured outreach conducted by the City of Tigard regarding the TDIP are attached to this document as Appendices_though_. Further Public and Stakeholder Involvement Following review by the Tigard Planning Commission and City Council, the City will hold a public meeting to receive public input prior to accepting the products from the TDIP process. There are a number of recommended actions within the TDIP, including special studies and the establishment of new sources of funding. Once the plan's products have been accepted by the City Council, the Advisory Groups and Downtown Task Force will move forward with implementation of the TDIP, providing the additional opportunity for public and stakeholder participation. Attachments: A. Community Dialog Packet No. 1 B. Community Dialog Packet No. 2 C. Summary of Community Dialog Comments D. Transportation Summit Summary Notes E. Ash Avenue Neighborhood Meeting Summary Notes F. Developers' Forum Summary Notes G. December 4, 2004 Workshop Summary Notes H. April 23, 2005 Open House Summary Comments JOHNSON G A R D N E R DATE: June 24, 2005 TO: Dave Siegel PARAMETRIX Barbara Shields CITY OF TIGARD FROM: JOHNSON GARDNER,LLC RE: Summary Memorandum on Economic Reports MEMORANDUM This memorandum summarizes and reconciles the results of the Economic Analysis Study from the Tigard Downtown Improvement Plan with feasibility work done by Tashman Johnson LLC for the Commuter Rail/217 Corridor Revitalization Feasibility Study. The Tashman Johnson report covered a number of urban renewal issues, but our review focuses on the market conditions section of the report. The report being reviewed was more general in nature than the one we prepared for Downtown Tigard, although specific conclusions are presented for Downtown Tigard, Washington County Profile A profile of Washington County was provided,which included data on population and employment trends. The data was consistent with ours, although the use of population trends by jurisdiction is a bit misleading, as it doesn't recognize the impact of annexations. The employment data used is from the Bureau of Economic Analysis in SIC format, while we used wage and salary data and the NAICS breakdowns, but the results are not inconsistent. Real Estate Market Overview Commercial and industrial market data in the Tashman Johnson report was derived from Norris Beggs & Simpson, a commercial brokerage firm, and officespace.com, an online listing service. We find the data from both sources reliable, but used Costar in our report for office and industrial space, an alternative data source that has a significantly larger survey which includes owner-occupied space. Our comparative conclusions regarding individual product types are summarized below: Office Spa Most of the market data presented in the Tashman Johnson report is dated 2003, while we used second quarter 2004 data. Our inventory ofspace was substantially larger, but the overall vacancy rates were consistent. The general conclusions of both reports were that the market was soft and would not recover for several years. 520 SW SIXTH AvENUE,SUITE 914 PORTLAND,OR 97204 503/295-7832 503/295-1107(FAY) The Tashman report assumes office lease rates of$20 per square foot gross, while our analysis expects a rate of$14 to$18 per square foot gross. We feel our analysis is more reflective of current conditions, but rates will need to rise closer to the Tashman assumption if new supply is to be warranted. Commercial/Retail Space Our conclusions regarding the retail market are generally consistent, but the Tashman Johnson report appeared to indicate that land values for retail were justifying structured parking. The market comps used are limited but appropriate. We do not feel that is currently the case, with the exception of very limited instances, and do not think it is realistic from a market perspective in Tigard, at least in the short-term. Retail rates were assumed to be$22 gross, and$18 net in the Tashman report. Our analysis set rents in the current market at$13 to $16 net, slightly below those in the Tashman report. Retail rents do show a great deal of variability, and a new development consistent with that envisioned in the Downtown Plan may get substantially higher lease rates, while the older space retains rates closer to our assumptions. Multi-Family Development We agree on the conclusions in the Tashman Johnson report with respect to general rent conditions and occupancy rates. The conclusions regarding both rental apartments and condos are generally consistent with those in our report. Rental apartment rates were assumed at$13.20 per square foot per year, or$1.10 per square foot per month. This is above the high end of our assumptions, which ranged from $0.80 to$1.05 per square foot. We feel this assumption is probably sound within the next few years, but aggressive in the current market. The condominium sales prices were assumed at $150 per square foot in the Tashman report, again higher than our assumed rate of$132 per square foot. In light of trends in the last year, the Tashman assumption is probably correct at this time. General Market Position Both reports are in wide agreement with respect to the general market position of Downtown Tigard, as well as viable use types. The primary variance is their allocation of residential development south of the railroad tracks, while the Downtown plan anticipates more residential northeast of the tracks. This reflects a design solution, as opposed to a differential with respect to market factors. ECONOMIC REPORTS RECONCILIATION PAGE 2 Parametrix ENGINEERING.PLANNING.ENVIRONMENTAL SCIENCES 700 NE MULTNOMAH,SUITE 1000 PORTLAND,OREGON 97232-2131 T.503.233.2400 T.360.694.5070 R 503.233.4825 w .pammetrixxom M E M O R A N 0 U M Date: June 30, 2005 To: Barbara Shields, Long-Range Planning Manager, City of Tigard Sonya Kazen, Associate Planner, ODOT From: David M. Siegel, AICP Project Manager Subject: TDIP Implementation Action Plan cc: Project Number: Project Name: Tigard Downtown Improvement Plan (TDIP) Introduction The City of Tigard has been involved in planning for the improvement of its downtown for several years prior to the initiation of the current Tigard Downtown Improvement Plan (TDIP) effort in 2004. These earlier efforts included work by the Oregon Downtown Development Association, a community survey, and many meetings by the City's appointed Downtown Task Force. With the receipt of a grant from Oregon's Transportation and Growth Management Program, a work program was initiated for building upon the previous studies and working with the community to develop a downtown improvement plan and an implementing strategy for carrying it out. Accordingly, the City of Tigard, through its Downtown Task Force, directed the Parametrix consulting team in applying its expertise to help the community develop its vision and plan for improving Tigard's downtown. The TDIP is a long-range (20-30 year) plan for the future growth and improvement of Downtown Tigard, consistent with the criteria for a Town center as required by Metro's 2040 Growth Concept. Any good plan is accompanied by an implementation program...a program indicating the appropriate tools and actions for carrying out the plan. The purpose of this memorandum is to present the Implementation Action Plan being recommended to carry out the TDIP. This implementation program will focus on the following: • Recommended future transportation system improvements and any suggested changes to the City's Transportation System Plan; • Recommended changes to the City's Comprehensive Plan, zoning code and implementing ordinances; and • Recommended development and community projects important for creating a climate of investment Downtown, and recommended sources of funding for these and other improvements. These three areas of focus have been discussed in depth in three technical memoranda accompanying the plan: a Future Transportation System Technical Memorandum; a Future Land Use and Regulatory Framework Technical Memorandum; and a Funding Strategy Technical Memorandum. Each memorandum has recommendations for short and longer-term actions for carrying out the TDIP. The purpose of the Implementation Action Plan is threefold: • To collect all the recommended actions in one location; (Rev.02/04) Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 2 of 16 • To identify those short-term actions needing to occur in each of the next three years to get set-up for the next year; and • To separate the short-term actions into two categories when appropriate..."organizational"and "project-related". Context To help understand why certain actions have been suggested, it is appropriate to provide some foundational context. Downtown Vision Early on in the planning process, the consulting team worked with the Downtown Task Force in a workshop setting to develop a vision for Downtown Tigard...for what the downtown would be like in 20-30 years. The following vision was generated by the Task Force: "Our vision of Downtown Tigard is a vibrant and active urban village at the heart of our community that is pedestrian oriented, accessible by many modes of transportation, recognizes and uses natural resources as an asset, and features a combination of uses that enable people to live, work, play and shop in an environment that is uniquely Tigard." Guiding Principles To ensure the planning effort was focused toward achieving the vision, the Task Force developed a set of guiding principles...statements reflecting desired outcomes. The guiding principles, which also served as criteria against which the success of the TDIP would be gauged, are as follows: • The vision for an improved Downtown Tigard must reflect the community's values and cultures. • Downtown Tigard should possess the qualities essential to successful downtowns, including: o Extended hours of operation...not"folding at 5:00" o A mix of employment, retail, housing and cultural/entertainment uses o Providing a unique experience not available elsewhere in the community o Possessing a "sense of place"with a special identity o Being seen as the"center" or the "heart" of the community o A vibrant and compact core, accessible by all modes of transportation o A feeling of accessibility and safety o Accessibility in varied climatic conditions (e.g., throughout the various seasons of the year) • Downtown should recognize the value natural resources provide as both an amenity and as a distinct and special "place". • Planning for Tigard's Downtown should capitalize on commuter rail and Fanno Creek as catalysts for future investments and development. • The Downtown's transportation system should be multi-modal, connecting people, places and activities safely and conveniently. Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 3of16 • Downtown Tigard's streetscape and public spaces should be pedestrian-friendly, and not visually dominated by the automobile. • The Downtown Improvement Plan should be forward thinking, with objectives and actions that will set the community up for future successes. • Downtown improvement projects should make creative use of unused and underutilized properties, while maintaining and building upon Tigard's history. • The Downtown Improvement Plan should be outcomes-based and action-oriented, with an array of key signature projects capable of being carried out. • City codes and regulations should enable the Downtown Improvement Plan's vision to be carried out, recognizing the difference between Downtown and other commercial centers. The Vision and Guiding Principles provided the foundation for developing the successive iterations of the Downtown conceptual plan and the three aforementioned Technical Memoranda. Given that an effective planning process requires thinking about implementation "early on", and throughout, focus now turned to thinking about tools and concepts for carrying out the plan...even thought it was still under development. Task Force Working Groups The Downtown Task Force formed three Working Groups to address projects, tools and techniques for carrying out the plan in three categories: Financing; Catalyst Projects; and "Brand Tigard" projects. These Working Groups would address these three key topics over the course of a few meetings, and then make initial recommendations to the Task Force as a whole. The Task Force would then provide direction on components of an initial implementation program. An overview of the charge of each of the three implementation Working Groups is provided below. • Catalyst Project Working Group Charge: What are the major projects or developments that will serve as the "catalyst"for generating momentum...for leveraging additional progress and additional development? A "catalyst" project is a significant improvement, one that helps create a climate for additional development and investment by"shocking the system"and generating related or complementary development efforts. In addition, what actions need to be taken to pave the way or create the climate conducive to carrying them out? Topics could include, but not be limited to the following: • "Anchor" projects • "Opportunity" projects • Key major public improvements • Ownership consolidation • "Brand Tigard" Working Group Charge: Successful downtown planning efforts are supported by many small projects that help create an identity or"brand", help focus the public's attention and generate and maintain momentum. Using the Guiding Principles as a framework, what are those projects and activities, and how can they help achieve them? Topics could include, but not be limited to the following: • Streetscape improvements • Beautification • Direction and wayfinding • Greenspaces and "pocket parks" • Special events Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 4 of 16 • Finance Working Group Charge: Identify the funding sources and financing tools available to pay for major and minor improvements, and provide direction on what sources or tools might be appropriate for Tigard in carrying out the Guiding Principles and funding the catalyst projects. What are the funding sources and financing tools available to pay for these improvements...initially and over time? What sources or tools are appropriate for Tigard, and what is the City willing to "put on the table" to generate momentum and attract investment? Topics could include, but not be limited to the following: • Urban Renewal Districts • Business Improvement and/or Local Improvement Districts • Revenue Bonds • Grants • Debt financing • Hotel/motel tax • Tax abatement or SDC credits • New fees • Condemnation The three Working Groups made their recommendations to the Task Force and the consulting team. These recommendations guided the preparation of the Preferred Design Alternative (specifically with regard to the identification and location of catalyst projects), as well as the projects, actions and implementation framework identified within the Transportation, Land Use and Funding technical memoranda. Implementation Concept The Downtown Tigard Improvement Plan is an action-oriented plan, focusing upon the projects and actions needing to be undertaken to carry out a clearly defined vision, a set of guiding principles, and a development/design concept. The TDIP will be implemented in pieces, or components, over the course of the next several years. Some actions will be initiated in 2005, others initiated in the years to follow. As mentioned above, the TDIP will be implemented in pieces, over time. The Technical Memorandum on Financing discussed the notion of catalyst projects, providing descriptions of them and their value. This document and the TDIP Summary Plan Document both noted that in most instances, each catalyst project is an idea or a program requiring a refinement study to pin down a concept, a location, a footprint or criteria for subsequent development proposals. Accordingly, in the short description of each catalyst project, the proposed preliminary "set-up" tasks or refinement study was briefly described. In addition, several of the catalyst projects require the application of staffing resources to establish programs, criteria, and to undertake preliminary tasks to enable projects to move forward (e.g., land assembly, property owner coordination, etc.). The Plan recommends a number of amendments to the City's Comprehensive Plan and Development Code (to provide greater recognition of Downtown, reflect objectives of the TDIP, etc.), as well as several new zones to carry out Plan intent and to achieve the planned uses, character and densities envisioned. In addition, two temporary overlay zones are recommended in order to protect"footprints"for projects that are still at the conceptual level, awaiting further refinement study. The suggested amendments to the City's Comprehensive Plan and Development Code will be further examined by Advisory Committees of the Downtown Task Force, and it is anticipated that appropriate changes and the necessary ordinances to codify them will occur over the next 1-3 years. It is anticipated that the City will begin talking with potential development interests regarding making the Plan a reality. Certain major improvements will be made by the City of Tigard through a variety of funding Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 5 of 16 sources, including urban renewal, if approved by the voters. Other improvements will be the responsibility of proposers of specific development activities. One or more of the catalyst projects may come about as a result of a "public-private partnership", a contractual arrangement tailor-made for each situation by which the public sector authority assigns certain functions or responsibilities to a private developer. The important point is that the TDIP is a long-term plan for the revitalization and growth of Downtown Tigard over the course of the next 20-30 years, with many actions and several refinement studies being required to set the stage for carrying out the improvements recommended as being needed to realize the vision for the future established by the community. Implementation Action Plan For a plan to be the"chart for change" it is intended to be, it must be accompanied by an implementation program...a program indicating the appropriate tools, actions and timelines for carrying out the plan. The Implementation Action Plan being recommended to carry out the TDIP focuses on the following: • Recommended future transportation system improvements and any suggested changes to the City's Transportation System Plan; • Recommended changes to the City's Comprehensive Plan, zoning code and implementing ordinances; • Recommended development and community projects important for creating a climate of investment Downtown, • Recommended sources of funding for TDIP-related improvements, and • Suggested time frame for initiating key actions and projects. These areas of focus have been discussed in depth in three technical memoranda accompanying the Plan: a Future Transportation System Technical Memorandum; a Future Land Use and Regulatory Framework Technical Memorandum; and a Funding Strategy Technical Memorandum. Each memorandum has recommendations for actions for carrying out the TDIP. It is also recommended that the City review the TDIP on a regularly-scheduled basis, and make amendments as opportunity or changing community and economic circumstances necessitates. Should there be a desire to change the guiding principles or shift the emphasis of a particular project, this plan- update process provides the mechanism for doing so within the context of reviewing the plan as a whole. Programming Concept A substantial number of actions, programs and projects are being recommended to carry out the TDIP. Not all of these can be done at once, and consideration needs to be given at the outset and during the regularly scheduled TDIP and Implementation Strategy update process to the grouping, phasing or timing of particular actions. It is recommended that the community program available/limited resources where they can do the most good, where they can leverage other resources or supporting activities or provide the "biggest bang for the buck", or where they can be concentrated to focus on a designated geographic target area. As opportunities and priorities change, or as additional funding becomes available, there may very well be the desire to change the geographic focus for carrying out components of the TDIP. The Incremental Implementation Strategy and its periodic review are intended to allow for and accommodate just this sort of flexibility. All too often, the best-intended plans are approved without an action plan for implementation, without a system or process for monitoring progress, and without a time frame for checking back in and updating the plan to reflect progress made or changing conditions. The scope of work for developing the Downtown Improvement Plan calls for preparation of an implementation strategy...an assemblage of objectives and a game plan of short-term and medium-range actions for achieving them. Given the aforementioned efforts of the Task Force Working Groups and the various Technical Memoranda and their recommendations for improvements and actions, the focus now turns to: • Collecting all the recommended actions in one location; Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 6 of 16 • Categorizing the implementing projects and actions, and prioritizing them with regard to relative timing (e.g., 1-3 years, 4-6, 6-10, beyond...); and • Identifying those short-term actions needing to occur in each of the next three years to get set-up for the next year. The consulting team recommends that the City of Tigard develop and maintain a short-term strategic action plan for incrementally implementing the TDIP's recommendations for improvements and actions. It is envisioned that this would be viewed as an "Incremental Implementation Strategy"...a three year, renewable/rolling, short-term action plan that would be annually updated, with a regularly-scheduled monitoring and updating process and a supporting budget. By way of example, in developing this Incremental Implementation Strategy, each of the TDIP's Guiding Principles would be examined on an annual basis to ascertain the current status of progress in achieving them, and actions for moving ahead in each of the next three years would be identified and planned for. The activities for Year 1 would be tied to the City's annual operating budget. The activities identified for Year 2 and Year 3 would serve as a placeholder or indication of anticipated action-related resource needs for the coming two years. Once Year 1 is nearly complete, the status of activities would be reviewed, and the activities for Year 2 would be adjusted as necessary, as it will become the new Year 1. Year 3 would be adjusted as appropriate in readiness for its becoming the new Year 2, and activities for a new Year 3 would be identified. The City would identify the coordinating body responsible for the monitoring, development and update of the Incremental Implementation Strategy, and for the coordination of the various City departmental activities to fund and/or carry out the strategy. City staff or the identified coordinating body would provide the City Council with a regularly scheduled status report on implementation activities. This regular monitoring, reporting and updating helps to keep the TDIP flexible and current, keeps all City departments focused on the carrying out of this important public policy objective, and keeps the TDIP and its implementation on the "front burner". In addition, it is recommended that the City review the TDIP on a regularly-scheduled basis (every few years), and make amendments as changing community and economic circumstances (and/or opportunity) necessitates. Incremental Implementation Strategy As mentioned earlier, three of the technical memoranda accompanying the Plan (Future Transportation System Technical Memorandum; Future Land Use and Regulatory Framework Technical Memorandum; Funding Strategy Technical Memorandum) contained a discussion and set of recommendations for short and longer-term actions for carrying out the TDIP, including: • Recommended development and community projects important for creating a climate of investment Downtown (e.g., the"catalyst projects"), • Recommended future transportation system improvements and any suggested changes to the City's Transportation System Plan; • Recommended changes to the City's Comprehensive Plan, zoning code and implementing ordinances; • Recommended sources of funding for TDIP-related improvements, and a • Suggested time frame for initiating key actions and projects. As the aforementioned projects and actions have been discussed in depth in the respective technical memoranda, this discussion will not be duplicated here. The following discussion will briefly summarize the major improvements and actions being recommended, accompanied by a table depicting the initial recommendation for programming their execution. The discussion will begin with the eight catalyst projects, followed by sections addressing funding, transportation and land use actions. Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 7of16 Catalyst Project Implementation Catalyst projects are those seen as being able to substantively alter the development environment in the study area. These projects represent key components of the overall plan, and their development would be expected to serve as a catalyst for development in the study area consistent with that outlined in the plan. Eight catalyst projects were identified by the Downtown Task Force and the Catalyst Project Working Group. Each of these projects is noted on the Preferred Design Concept map (Figure 10 within the Summary Plan Document), and a brief description of each one, and its attendant benefits, is provided below. In most instances, each catalyst project is an idea or a program requiring a refinement study to pin down a concept, a location, a footprint or criteria for subsequent development proposals. Accordingly, in the short description of each catalyst project, the proposed preliminary"set-up"tasks or refinement study is briefly described. As will be noted in the Implementation section of this Plan, initial recommendations for programming and carrying out these components have been provided in Appendix J to this document. A. Streetscape Enhancement Streetscape improvements enhance the "public space" environment, and would include an overall streetscape design theme for the Downtown area, and design and street function improvements to specific streets, gateways, public spaces, rail crossings and the commuter rail station. Increasing the attractiveness of public spaces has a positive impact on local properties, and can encourage cross- shopping and more extended stays in the district. A positive public space will help attract development. Improvements would include streetscape design and street function improvements for Burnham, Main, Commercial, and Scoffins, and gateway/portal improvements at Scoffins, Main, Garden Place, and Tigard Street. Implementation Timing for Streetscape Enhancement Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Streetscape Plan X Main Street X X Burnham X X X Scoffins X X X Commercial X X X Ash Avenue a. Study and ROW Acquisition X b. Construction X B. Urban Creek/Green Corridor The concept of developing an "urban creek" seeks to establish a unique feature that reinforces the concept of a "green downtown", providing a thematic linkage to Fanno Creek, and helping to establish a unique identity for Downtown Tigard. Connecting the two anchors of Fanno Creek and the Regional Retail Area (another of the proposed catalyst projects) at Hall Boulevard and 99W, the Urban Creek could be a natural appearing creek, portions of a creek or a series of water features linked by plazas, or some other combination of water and public space/amenity. The Urban Creek would be integrated with new and existing development, providing an alternative "front door"to redeveloped properties along its length. In addition to the creek or water features, this major public amenity would be accompanied by plazas or open spaces, pedestrian walkways, a service road, and landscaping. This project would have an organizing impact on the study area, defining a clear pedestrian link and providing an amenity that future development can capitalize upon. Future projects bordering the green corridor would be encouraged to orient activities to take advantage of the "waterfront" or public space value of this amenity. In addition, Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 8 of 16 depending upon final design, the Urban Creek could serve as a means for stormwater conveyance and treatment, or could potentially demonstrate the use of recycled water. Regardless, this project serves the dual role of development stimulant while connecting Downtown areas. Determining the design concept, form and "footprint' of the Urban Creek requires a detailed feasibility study to ascertain public preference, preliminary design, constructability and cost. It will be important to protect the potential footprint of this amenity pending completion of the feasibility/preliminary design work. For this reason, a temporary overlay zone or other method of ensuring review and coordination of potential development proposals that might have the ability to limit or preclude options for its location is being proposed. Implementation Timing for Urban Creek Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Feasibility Study a. Public Preference X b. Preliminary Engineering X Acquisitions & Easements X Land Disposition X X X Final Design & Engineering X Construction X NOTE: Include connection to Fanno Creek area, Burnham and RR Crossing. C. Hall Boulevard Downtown Gateway Hall Boulevard provides a natural gateway into Downtown Tigard, given its intersection with Highway 99W. This key gateway with its prominent visibility from Hwy 99W is proposed to be developed with regional mid-sized retail with parking and a public plaza space. The purpose will be to pull people into Downtown and start to draw them further to Main Street, the Green Corridor/Urban Creek, Fanno Creek Public Area, and etc., and to jumpstart development in the area. Planned intersection improvements at Hall Boulevard and Highway 99W will require public acquisition of some key properties, and may provide an opportunity to offset some of the costs of this project. This project would offer a number of benefits for the study area. It would create a strong entry statement for the district from Highway 99W and Hall. In addition, the project could be designed with linkages to the remainder of the study area, generating activity and adding amenities that would be valuable to future development activity in the study area. An example of this would be linking the development with the upper portion or"genesis" of the Urban Creek and Green Corridor. As with the aforementioned Urban Creek, determining the design concept, form and "footprint' of the Hall Boulevard Downtown Gateway requires a detailed feasibility study to ascertain public preference, preliminary design criteria to guide future proposals to carry out the Gateway and associated development. Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 9 of 16 Implementation Timing for Hall Blvd Downtown Gateway Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Feasibility/Preliminary Design & X Guidelines Land Disposition-Methodology/Program X X Data Land Assembly X X RFP X NOTE: 1. Fallback if assembly is compromised—revisit concept 2: Need Funding, Need URA D. Downtown Housing The Plan anticipates creating more housing of various types in several locations in Downtown. The intent is to bring more people into Downtown as residents. This will activate the Downtown throughout the day and into the evening. Housing development in the downtown will provide a number of benefits, including increased support for local services such as retail. In addition, residential development can provide a greater number of"eyes on the street", increasing the perception of security in the district. Residential development in the area is also supportive of transit, and can capitalize on the planned commuter rail line. The Plan identifies generalized locations for housing, favoring the concept of moderate to higher-density mixed use development, with housing availability for a wide range of income levels. Carrying out this catalyst project concept requires undertaking an initial housing policy study to identify housing needs, affordability and design guidelines, property consolidation needs, availability and applicability of funding and/or incentives, and etc. Implementation Timing for Downtown Housing Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Housing Policy Study X X Housing Program Estimate X Implementation X X X X E. Ash Avenue Downtown Improvements This project provides for street and public space improvements to Ash Avenue between the planned Park and Ride and the Fanno Creek floodplain. Improvements will include a new bike and pedestrian bridge, an overlook area for Fanno Creek, an at-grade pedestrian crossing (with the desire for a vehicular at- grade crossing over the long term)and the extension of Ash from Burnham to the Park and Ride. The City has committed funds for design, right of way acquisition, and roadway improvements to Burnham. Improved linkages between the Fanno Creek open space and downtown Tigard have consistently been cited as desirable by the Downtown Task Force, and represent a key component of the plan. These improvements have positive impacts similar to those outlined in the streetscape enhancement program, with this project also directly targeting an important linkage between the floodplain/open space and the commuter rail Park and Ride. Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 10 of 16 Implementation Timing for Ash Avenue Downtown Improvements Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Downtown Access Alts Study X RR At-Grade Crossing a. Initiate Negotiations X b. Pedestrian Crossing X c. Vehicle Crossing X Burnham to Fanno Overlook X Ped/Bicycle Bride X E. Terminus to RR Tracks X F. Fanno Creek Public Area and Performing Arts/Recreation Center These two catalyst projects, the Fanno Creek Public Area Improvements and the Performing Arts/Recreation Center are linked, both with regard to general location, and for the joint benefits to be derived from their interconnection. Accordingly, these two projects will be discussed together in this subsection. Fanno Creek Public Area The Plan envisioned the"Heart of Downtown" as one of the Great Ideas explored early in the process. This concept called for recognition and improvement of a central open space resource and gathering place adjacent to Fanno Creek, supporting a range of passive and active open space and public gathering uses. These could include such uses as: ➢ A home for the Tigard Farmer's Market ➢ A smaller, appropriately-scaled entertainment venue, perhaps a natural amphitheatre for public concerts and other events ➢ Picnics, weddings, and other gatherings The improvement of this area as a community amenity that acts as a gathering spot while respecting the natural environmental character and needs of the Fanno Creek area further advances the concept of a "green Downtown", respecting the valuable Fanno Creek resource. The Fanno Creek area has consistently been identified as a key amenity in the district, with considerable emphasis in the Plan dedicated to increasing linkages to Fanno Creek from the remainder of the study area. Creating an attractive public area adjacent to the natural environment surrounding the creek will work towards further capitalizing on this amenity, for both the district as well as the City of Tigard. To further define the uses associated with this catalyst project, their location and scale, it is recommended that a feasibility study of the improvement of the Fanno Creek Public Area be conducted in conjunction with the examination and programming study to be conducted for the Performing Arts/Recreation Center(see following section). Such a study should address the potential for an intermediate and then "final" home for the Tigard Farmer's Market. As with the Urban Creek, a temporary overlay zone or other method of ensuring review and coordination of potential development proposals that might have the ability to limit or preclude options for future uses pending completion of the study is being proposed. Performing Arts/Recreation Center Development of a Performing Arts and Community Recreation Center is seen as an opportunity to create a community gathering place for the arts and activities in the"Heart" of Downtown that links visually and physically with the Fanno Creek Public Area across Burnham Street. The purpose would be to bring day- round activity to the Downtown "Heart"through the recreation center, provide a space for the performing and visual arts, and provide a community gathering space while stimulating patronage of complimentary uses (e.g. restaurants, coffee shops, etc.). Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 11 of 16 It is recommended that the City conduct an examination of the feasibility of the suggested Performing Arts and Community Recreation Center, and of the programming to be associated with them. It is further recommended that this study be coordinated with the aforementioned Fanno Creek Public Area use and feasibility study. The program development study will enable the city to determine the amount of funding needing to be raised for these improvements, and provide the basic information for a bond levy, should the city pursue one. Implementation Timing for Fanno Creek Public Area & Performing Arts/Recreation Center Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Comprehensive Use/Feasibility Study X Performing Arts/Recreation Center X Program Development Bond Approval X Land Disposition X X X X X Area &Creek Enhancement Activities X X X X X X Farmer's Market a. Interim Location X b. Final Home (Per Feasibility Study) X X G. Post Office Relocation The Plan calls for shifting the location of the Post Office from Main Street to the border between the "Heart" and the Civic District. The primary motivation for relocating the Post Office is that the current facility is not seen as being supportive of desired activity on Main Street. While the post office draws regionally and can generate a substantial level of traffic, this activity is not typically seen as linking with other desired commercial activities on Main Street. Shifting the facility to a location with better access and that is less disruptive to Main Street would encourage development patterns consistent with those outlined in the plan. The purpose would be to soften the transition between the "Heart" and the Civic District while freeing up valuable retail space along Main Street. The current Post Office location is owned by the USPS, and the agency would need to approve any suggested change of location. As such an undertaking is a lengthy process, it is recommended that discussions with the USPS be initiated in the near term. Implementation Timing for the Post Office Description YR 1 YR 2 1 YR 3 1 YR 4-6 YR 6-10 1 ONGOING Initiate discussions with USPS X X Follow-up Actions (Location/Replacement X X X X Study/Facilitation) Funding, Transportation and Land Use Improvements In addition to the projects that have been identified as "catalyst projects", those seen as having the potential to help "jumpstart" development and redevelopment activities, there are a number of other projects and actions being recommended to help realize the public policy objectives of this Plan, and its vision. These recommendations fall under several categories: 1. Transportation System Improvements 2. Code and Regulatory Adjustments 3. Funding Sources 4. Organizational/Follow-Up Actions Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 12 of 16 A. Funding Specific public-improvement projects can come about as a result of local, state and federal grants, private investment and donations, city general fund allocations and other sources of public financing. A variety of funding tools, options and policies were discussed in the process of preparing this Plan, and detailed information on these is provided in the appendices to this document. As indicated above, Tigard has a number of financing tools currently in place, or easily activated to generate revenue. A list of these tools and the activities needing to be pursued to enable the City to generate the level of funding necessary to carry out the range of improvements recommended by this plan is provided in the Funding Strategy Technical Memorandum. Available Tools ➢ Tool: Land Assembly o Action: Pursue land assembly of identified key parcels. ➢ Tool: Tax Abatements o Action:Allow for property tax abatements for dense housing development, under the State's Vertical Housing Tax Credit Program. Note: Can impact tax increment revenues in an urban renewal district. ➢ Tool: Grants (Metro, etc) o Action: Apply for Federal, State and Regional grants to help fund catalyst projects Recommended New Tools As mentioned earlier, there are additional, appropriate financing tools that are not currently in place, and will require public approval to establish: Urban Renewal Districts, Business Improvement Districts, Economic Improvement Districts or Local Improvement Districts. The activities needing to be pursued to enable the City to generate the level of funding necessary to carry out the range of improvements recommended by this plan is provided below. ➢ Tool: Urban Renewal District o Action: Prepare an Urban Renewal District Study, prepare campaign for City-wide vote ➢ Tool: Business or Local Improvement District o Action: Explore establishment of committed funding sources to pay for identified improvements. It should be noted that implementing the recommended Downtown Improvement Plan is not reliant upon any one of the above funding sources being available. By way of example, it is clear that the use of urban renewal would provide the most significant source of funding for the development and redevelopment of Downtown Tigard; to create an urban renewal district requires voter approval, given the Tigard City Charter. Should the City pursue establishment of an urban renewal district and the action not be supported by the voters, the Plan would still be capable of being carried out. However, the length of time to generate other revenues to make the public investments needed to spur private investment would lengthen considerably. Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 13 of 16 Implementation Timing for Funding Improvements Description YR 1 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Urban Renewal District a. Plan now X b. Ballot Measure (May 2006) X Grants X X X X X X Tax Abatements X X X X X Districts LID/BID X X X X Developing Partnerships & Funding X X Downtown's Future Workshop B. Transportation Overall, the City's currently adopted Transportation System Plan (TSP)will accommodate the Preferred Design Alternative without any significant impacts to the regional or local transportation system in the study area. There are no modifications to the TSP recommended at this time as being needed to help carry out this Plan. As the TDIP is implemented, in addition to the continuous planning that will occur to achieve the community vision, the following specific projects should be considered. Near Term Actions: ➢ Plans and Policies. Continue implementing the plans, projects and policies identifies within the adopted TSP. ➢ Achieve consensus on alternative Downtown Access Improvements. Extending Ash Avenue from Walnut to Downtown Tigard is included in the adopted TSP; however some stakeholders would prefer that the street not be constructed. The City will be undertaking an Ash Avenue corridor study to address the improvements identified in the Ash Avenue Improvements catalyst project discussed above. It is recommended that the City conduct an examination of potential alternatives for improving access to downtown. Detailed travel demand to, from and within Downtown and sub-area travel demand models should be developed to support this process. If the identified access improvements do not include an extension of Ash Avenue across Fanno Creek, it is recommended that the TSP be updated accordingly to remove it. ➢ Review City Pedestrian and Bicycle Plans. The City should review and modify current City pedestrian and bicycle planning efforts to ensure that these support simple and feasible access to, from and within downtown Tigard. ➢ Explore design requirements for"Green Street"street treatments. The TDIP calls for integrating Fanno Creek into downtown Tigard. As part of this effort, Tigard should explore developing design guidelines for green-street street treatments. Possibilities include integrating concepts into traffic calming treatments, intersection control, drainage, and parking areas. ➢ Hall Boulevard and Highway 99W Cross-Sections. As the City of Tigard begins additional planning work related to Highway 99W and Hall Boulevard, it is suggested the City work with ODOT as early as possible to refine and define cross-sectional preferences and requirements for these streets. ➢ Street Design Guidelines. The City of Tigard should participate as needed with ODOT and Metro Staff to develop Highway Design Manual street design guidelines blending features of both ODOT and Metro Street design requirements. Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 14 of 16 Longer Term Actions: ➢ Parking Management Plan. Develop and implement a parking management plan that ensures adequate short-term and long-term parking supply for residents, employees and patrons of Downtown. This plan is not necessary until Downtown begins to grow and parking utilization increases, but the study should be conducted prior to constructing any structured parking. ➢ Downtown Access. The results of the Ash Avenue evaluation and Downtown access study will guide short-term and long-term transportation actions within Downtown that should be implemented in the long term. ➢ At-grade Rail Crossing. It is desirable within Downtown Tigard, that a new at-grade crossing of the railroad tracks be developed along the Ash Avenue alignment. City of Tigard Staff should continue to work with Portland & Western Railroad and the ODOT Rail Division to identify options for achieving this crossing. Challenges exist, and significant local and regional planning efforts and engineering and constructions costs would be required to achieve consensus for a new at-grade crossing. Implementation Timing for Transportation Improvements Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Hall/99W Cross-Sections X Downtown Access Alternatives X Ped/Bike Plans a. Update Plans X b. Focus & Implementation on Downtown X Parking Management Plan X a. Monitor Ongoing Situations X X X X X X b. Determine Catalyst Project Impacts X c. Prepare Plan X C. Land Use Code and Regulatory Adjustments Overall the existing Community Development Plan and Comprehensive plan ordinances and policies do not present significant barriers to developing Downtown as conceived on in the Improvement Plan. Nonetheless, a review of these documents revealed that although few barriers exist, the ability of the existing regulatory framework to shape a growing Downtown as planned, more direct guidance is needed. The following sections summarize the findings and recommendations of the Land Use Technical Memorandum. Programming considerations are further discussed in the Implementation Strategy section of this Plan. Comprehensive Plan To be consistent with the vision of the Improvement Plan, the City needs to make some relatively small adjustments to policy statements and implementation strategies within the Comprehensive Plan. The recommendations are focused on emphasizing the multi-functional character and vibrancy desired within Downtown and also allow for consideration of additional funding mechanisms. Development Code Given the desired characteristics for an improved Downtown Tigard and the analysis of the current CBD zoning in the Community Development Code, it is recommended that four new Town Center base zones and two new Town Center overlay zones be created for Downtown. The recommended zones are designed to guide uses as they are organized in the Preferred Design Alternative. The City of Tigard already has several mixed-use zones that are specifically tailored to meet the needs of other areas in Tigard. While built upon these existing mixed-use zones, the recommended zones provide Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 15 of 16 area-specific purpose statements and alterations to the development standards that tailor them to meet Downtown needs. 1. Base Zones The following "base"zones are recommended in order to help achieve the public policy objectives and vision of the TDIP. ➢ TC-CBD: Town Center— Central Business District - Intended to retain the character of Main Street while guiding higher density development to the east of Main Street, this zone allows for mainly retail uses with some other uses considered conditional or limited. ➢ TC-MUC:Town Center— Mixed Use Commercial District—This zone is designed to meet the needs of the regional retail center area at the intersection of Hall Boulevard and Highway 99W. It is focused on medium-box retail establishments but allows for supporting smaller retail uses. ➢ TC-MUE: Town Center — Mixed Use Employment — Designed to provide for civic, office and professional employment needs, this zone will also allow for limited residential development, but is focused on office use. The purpose statement for this zone specifies that no residential uses should be allowed adjacent to the rail corridor. ➢ TC-MUR: Town Center— Mixed Use Residential — This zone has two levels of intensity TC- MUR(1) and TC-MUR(2) that provide for medium and medium to high residential density districts. It allows for supporting retail uses. 2. Overlay Zones As discussed earlier, the following "overlay" zones are recommended in order to help achieve the public policy objectives and vision of the TDIP, and to ensure review and coordination of potential development proposals that might have the ability to limit or preclude options for future uses pending completion of recommended feasibility/refinement studies. ➢ Green Corridor/Urban Creek Overlay—As an interim step to achieving the Tigard vision for a Green Corridor/Urban Creek in Downtown, this overlay zone directs the City to review all development proposals through a conditional use process to allow for consideration of development siting in relationship to a potential future public space. ➢ Fanno Creek Open Space Overlay—The Improvement Plan and Vision for Downtown call special attention to the stewardship and enjoyment of Fanno Creek. A low-intensity, passive recreation area is planned between Burnham Street and the Fanno Creek 100-year floodplain, and this overlay zone is intended to restrict development uses only to passive recreation as an additional protective measure for this critical area. In addition to the base zone and overlay zone recommendations, the Land Use Technical Memorandum suggests that the City's Special Development Standards should be evaluated further by the Land Use Advisory Group being established by the Downtown Task Force. Some specific areas recommended for attention include: ➢ Pervious paving treatments ➢ Vegetated stormwater treatment ➢ The expansion of options for joint parking facilities ➢ Sign standards for Downtown ➢ Visual clearance requirements The first two items noted above are not currently addressed within the Special Development Standards for the Central Business District. The latter three items should be examined and revised or augmented to reflect the vision and guiding principles contained within this Plan. Barbara Shields, Long-Range Planning Manager,City of Tigard June 30, 2005 Page 16 of 16 3. Desiqn Standards Tigard has previously developed design standards for the Tigard Triangle and Washington Square Regional Center. In addition, some design standards existed within the regulations of the CBD zoning designation. Considering these existing standards, it is recommended that the content of the existing interim design standards for the CBD district and the adapted content and organization of the Washington Square Design Standards be used as a basis for developing design standards for Downtown Tigard that are consistent with carrying out the vision and guiding principles of this Plan. Measure 37 The recent passage of Measure 37, requiring waivers of regulations or compensation to property owners if regulations have the effect of reducing a property's value, presents a challenge to every Oregon jurisdiction, as communities are still determining how to address it. Accordingly, the potential "Measure 37 impacts" of the Improvement Plan have yet to be addressed. It is recommended that this issue be addressed by the City in consultation with the state, Metro, and other local jurisdictions as soon as possible. Once Measure 37 issues are addressed, the Improvement Plan may need to be revisited if adjustments appear to be required. Regulatory Framework Timing The overlay zones, especially the Green Corridor/Urban Creek overlay zone, need to be in place as soon as possible to provide protection of the land to be used for the Fanno Creek Public Area and for the Urban Creek from future development actions that might compromise opportunity and/or location of the future improvement. Concurrent with the adoption of the overlay zones, the City will need to conduct a Measure 37 analysis of the recommended zoning for Downtown Tigard. Following these actions, adjustments to Comprehensive Plan should be refined and adopted to set the framework to guide the future refinement and adoption of the changes to the Community Development Code. Implementation Timing for Land Use/Code Improvements Description YR 1 YR 2 YR 3 YR 4-6 YR 6-10 ONGOING Refine &Adopt Overlay Ordinances X Base Zones, Design Guidelines & Development Standards a. Refine Zones and Standards X X b. Adopt Above X Measure 37 Analysis of Zoning X Recommendation Comprehensive Plan Policies a. Refine Policies X b. Adopt Refined Policies X D. Organizational Follow-up Actions Task Force Advisory Groups During Plan development, the Downtown Task Force formed three Working Groups to address projects, tools and techniques for carrying out the plan in three categories: Financing; Catalyst Projects; and "Brand Tigard" projects. It is recommended that the Task Force establish advisory groups to focus upon carrying out the catalyst projects, identifying and implementing the "Brand Tigard" projects, and fleshing out and adopting the proposed changes to the comprehensive plan and Community Development Code. Downtown Program Staff A number of the recommended actions for carrying out this Plan will require substantial support from staff. Tasks requiring such support include establishment and maintenance of an urban renewal district(once approved by Tigard voters), property owner outreach efforts, property assemblage, project development and administration, housing program development and maintenance, and update/maintenance of a short- term implementation strategy.