Minutes 05-05-99
MINUTES OF THE COMMUNITY REDEVELOMENT AGENCY MEETING
HELD IN CONFERENCE ROOM C, WEST WING, CITY HALL
BOYNTON BEACH, FLORIDA
WEDNESDAY, MAY 5, 1999 AT 6:30 P.M.
PRESENT: ALSO PRESENT:
Gerald Broening, Mayor Melody Green, Recreation Superintendent
Henderson Tillman, Vice Mayor Wilfred Hawkins, Interim City Manager
Nellie Denahan, Commissioner Mike Rumpf, Planning & Zoning Director
William Sherman, Commissioner Dale Sugerman, Assistant City Manager
Ron Weiland, Commissioner John Wildner, Parks Superintendent
I. CALL TO ORDER
Mayor Broening called the meeting to order at 6:30 p.m.
II. AGENDA APPROVAL
Commissioner Denahan moved to approve the Agenda. Motion seconded by
Commissioner Weiland. Motion unanimously carried.
III. PRESENTATIONS
Mayor Broening stated there were presentations, which will be made this evening, and
that Larry Finkelstein will make the first presentation on the Boynton Promenade.
A. Boynton Plaza by Larry Finkelstein
Mr. Larry Finkelstein of 114 N. Federal Highway, Suite 202, Boynton Beach took the
podium. Mr. Finkelstein said his presentation would be on the redevelopment of
Boynton Beach Plaza and the first block of the Boynton Beach Promenade from Federal
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Highway to NE 6 Street. Mr. Finkelstein read to the audience a portion of the CRA
statute dealing with the redevelopment of the CRA area by private enterprise. Mr.
Finkelstein said he was private enterprise, asking for CRA assistance for redevelopment
in the core area.
Mr. Finkelstein said he was also seeking conceptual approval and assistance for his
project. This would permit him to begin start his project in phases to conform to the
Visions 20/20 Plan beginning now, instead of sometime in the future. Mr. Finkelstein
informed the Board that there are restrictions in some of the leases that preclude
redevelopment of the property for up to 18 years. Mr. Finkelstein said his project would
require tenant relocation, major site plan modifications, architectural and landscape
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design work, demolition, possibly the loss of some tenant base and keeping some
space vacant, as well as not renewing some current leases.
Mr. Finkelstein said he wanted to change the focus and direction of the Plaza to merge
and interact with the Promenade and the new pond park. Mr. Finkelstein presented
artist’s renderings of his project to the Board and reviewed the plans with the Board.
Mr. Finkelstein said his project would begin with the first block and the demolition would
be on the south end of the Plaza and said the total cost of phase 1 is $7 million. Mr.
Finkelstein stated his proposal is an economic and financially feasible proposal and is in
accordance with the Visions 20/20 Plan and the CRA.
Mr. Finkelstein read to the Board a letter he received from James Duncan & Associates
regarding their approval of his project. Mr. Finkelstein also read a letter from St. Mark’s
Catholic Church, which states the Church is in agreement with the plans. Mr.
Finkelstein reviewed the proposed entrance to the Plaza with the Board. Mr. Finkelstein
stated that in future phases there are plans for a very large plaza for public gatherings,
festivals, etc. Mr. Finkelstein said there would be a 15’ outside area for sidewalk cafes
and pointed out this area on the plans.
Commissioner Denahan inquired about the Relax Inn. Mr. Finkelstein said he has not
addressed that issue at this time and he could complete phase 1 of his project without
the Relax Inn. However, Mr. Finkelstein stated the building extends all the way to the
property line. Mr. Finkelstein stated that in order to do a full 60’ promenade, 10 to 15
feet from the Relax Inn property is needed.
Mr. Finkelstein presented the benefits of his project to the Board and said he was
asking for the following incentives
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A waiver of fees;
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Assistance with removal of the lease conditions, restricting redevelopment;
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Assistance with cancellation of long term lease renewals; and
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Assistance with Palm Beach County grants.
Mr. Finkelstein presented some other incentives that he was seeking in connection with
the loan on the property. Mr. Finkelstein said the CRA budget has approximately
$521,000. There is a CORE Grant for Boynton Beach of $65,000 and a CBGD grant of
$125,000 for a total of $711,000 available. Mr. Finkelstein said the City could place a
lien on the property as security. Also, a development agreement needs to be formalized
and signed.
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Mr. Finkelstein was asking the Board for a consensus this evening and then a
development agreement could be approved. Mr. Finkelstein also read some recent
newspaper articles on CRA development taking place in other cities in the County. Mr.
Finkelstein said there were all kinds of tools available to stimulate CRA development.
Mr. Finkelstein said he would be glad to answer any questions the Board may have. A
gentleman in the audience asked Mr. Finkelstein when his project could get started and
Mr. Finkelstein said if the Board approved it, probably within 90 days.
Mayor Broening asked if anyone had any ideas on much it would cost to acquire the
Relax Inn. Mayor Broening said the project would not be vital without the Relax Inn.
Mr. Finkelstein said his project is o.k. without the Relax Inn, but the promenade could
not be completed without the Relax Inn. Mr. Finkelstein said he had a letter of intent for
the Relax Inn and would be glad to discuss it further with the Board.
A gentleman in the audience asked if Mr. Finkelstein was asking the CRA to take the
responsibility for condemning the leases that currently exist at the Plaza. Mr. Finkelstein
replied that this was not his intent and that there were some restrictions in the current
leases that do not allow redevelopment of the property. Mr. Finkelstein would like that
provision in the lease cancelled.
Mr. Finkelstein said that eventually his project might become larger than the marina
project during the various phases and tonight he is merely presenting a concept. Mr.
Finkelstein said that he already has people who have expressed an interest in the
Plaza.
A gentleman asked if Mr. Finkelstein was requesting the entire CORE Grant of
$65,000. Mr. Finkelstein said he was just listing sources that are available and has not
asked for any specific amount.
The question was asked how long the grant money would be available and Mr.
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Finkelstein said he thought the application deadline for grant money was June 4.
Mr. Harvey Oyer asked if Mr. Finkelstein would be adding a building to the north end of
the plaza. Mr. Finkelstein said he planned to do this in a future phase.
Mr. Oyer inquired if the parking garages would be adjacent to Federal Highway and was
informed they were. Mr. Oyer questioned if a wider road going into St. Mark’s would be
more desirable. Mr. Finkelstein said he would like to see a wider road.
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Mr. Oyer also thought that Cypress Manor was closed and this would be a good time to
approach the owners of that property, to which Mr. Finkelstein agreed and said he left
the curb out of his plans for that specific reason.
Commissioner Denahan asked Mr. Finkelstein to be specific in what he would like from
the City in the terms of incentives. Mr. Finkelstein said because this was a workshop,
he did not come up any specific outline. Mr. Finkelstein said he would need assistance
with the leases if that becomes an issue.
Commissioner Sherman inquired if Mr. Finkelstein had a specific figure in mind. Mr.
Finkelstein said the financial assistance could be done in many ways, depending upon
the Board. It could be through a loan or a loan guaranty or through cash or any
combination of these. Mr. Finkelstein said he has a commitment and is buying the
shopping center in any event.
Mr. Finkelstein said that seven of the tenants are on a month-to-month basis and the
Bank wants the tenants on long-term leases. However, if the tenants were put on long-
term leases, he would not be able to redevelop the plaza because he now has long-
term tenants. The bank is willing to take an additional guarantor and to take a cash
escrow. The bank is also willing to do some other things that would not require Mr.
Finkelstein to place the tenants on long-term leases. Mr. Finkelstein said only two
tenants are involved with these restrictions.
Mr. Finkelstein said he would be looking for about $300,000 to $375,000 and could be
secured as previously discussed. Mr. Finkelstein said if there was a consensus that the
Board was interested, he would put together a developer’s agreement that would outline
all the specifics.
Mayor Broening stated that the project lacks specificity and Mr. Finkelstein said he was
advised this was a workshop and that specifics were not necessary. Also, Mayor
Broening said consideration needs to be given on how to acquire the Relax Inn.
Conceptually, Mayor Broening stated the project fits in with what the City wants to do.
Mr. Finkelstein said there are funds in the 20/20 Visions process that could be
redirected to purchase the Relax Inn. Mr. Finkelstein said he would like to see the $1
million earmarked for the City Club taken and used to purchase the Relax Inn to keep
the work in the core redevelopment area.
Vice Mayor Tillman reminded the audience that tonight is a workshop and there won’t
be any action taken this evening. Vice Mayor Tillman said that the City is not in the
business of becoming landlords and it is important to make sure that things are done in
a more direct way. At the same time concepts need to become more concrete and
better defined before anything can be put in writing.
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Mr. Jed Denahan stated it is time for the City to move forward and even though the
ribbon cutting for the Marina Project took place, nothing has happened to date. He also
stated that it is up to this Board to move forward.
Mayor Broening said he did not know how a private investor could come into the City
and invest tens of millions of dollars without the City taking some kind of risk. Mayor
Broening said there is not much to show in terms of private development and noted that
the City could receive 100% assurance that something will be successful.
Mayor Broening said he would like the City to be able to be involved in the process of
defining the City’s risk. Mayor Broening said he did not want the City to turn away a
good idea simply because there are impediments and said good ideas need to be
nurtured and should not be turned away. Mayor Broening said he would like a
consensus tonight that the Board has the ability to work with someone to get a good
project completed.
Mr. Finkelstein said that when phase 1 is completed and put back on the tax rolls after
reassessment, it would bring $70,000 back in TIP funds. Mr. Finkelstein said that 12
banks have turned him down, since the banks don’t like the area, they don’t like the
occupancy and the banks don’t see anything happening in the City. Mayor Broening
also felt that the citizens don’t see anything happening and are loosing confidence in the
City. Mayor Broening said something needs to be done.
Mr. Black inquired if the Board could request tonight that Mr. Finkelstein furnish them
with the specifics so that it can be presented at the next CRA meeting in order that a
decision could be made. Mr. Black said that things must start somewhere and he
thought Mr. Finkelstein presented a good project.
Mayor Broening inquired if any other concepts like Mr. Finkelstein’s have been
presented and was informed there were none. Mr. Hawkins said that other projects
might follow. Mr. Finkelstein said he is ready to proceed if the City is.
Commissioner Weiland also liked the project and liked the concept that the back end of
the plaza opened up to the lagoon and creates a large place for people to congregate.
Commissioner Weiland said that the Relax Inn needs to be acquired since it is
necessary for the promenade. Commissioner Weiland also said he has concerns about
the long-term leases and the project could begin with phase 1, but if the remainder of
the project doesn’t get completed, phase 1 won’t offer that much since the congregation
area would not be available. Commissioner Weiland would like assurances that the
entire project would be completed within three to five years. Mr. Finkelstein said his
project is a market-driven development. If the market is not there, the rest of the project
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won’t happen. However, Mr. Finkelstein thinks the market is there and he has had
inquiries from national tenants.
Mr. Hawkins stated that having a good development agreement could minimize the
risks. Also, a market study could be taken to determine what the market might be to
sustain this type of development.
Commissioner Weiland felt that the Marina Project and Mr. Finkelstein’s project would
be a great success if it were done right.
Mayor Broening said the Board was in consensus that when the particulars are
received, the Board would be ready to make a decision. Mr. Finkelstein inquired if the
Board wished for him to bring this back to the June meeting, or did they wish to review
the particulars prior to the next meeting.
Mr. Hawkins said that the consensus is that the Board likes the project and wants Mr.
Finkelstein to come back, Mr. Finkelstein would have to start working with staff to talk
about numbers, the development agreement and how to make the project work.
Commissioner Weiland inquired about the time period. Mr. Hawkins said that staff
needs time to look at more financial information about the project and Mr. Finkelstein
has already met with the planning staff to discuss the design of the project. Mr.
Hawkins said that Mr. Finkelstein is far enough along in his project that it could be
brought back to the Board next month.
Mr. Brian Edwards asked Mr. Finkelstein if he had a follow-up plan if the Commission
did not go along with his project. Mr. Finkelstein said he plans to purchase the property
and part of his agreement with the bank is that he could sign the month-to-month
tenants on long-term leases. Mr. Finkelstein said he would lease the property to make it
an income producing property.
Ms. Melody Green asked when Mr. Finkelstein expected the special event area to be
completed and Mr. Finkelstein said it would probably be in two to three years.
B. Gateway Intracoastal Destination Park
B.I.K. Enterprises, Inc.
Mr. Bulent Kastarlak took the podium to address the Commission and the audience.
Mr. Kastarlak stated that the project he is about to present could only come to fruition if
the City reverses its decision to build the Intracoastal Park. Mr. Kastarlak said that the
City of Boynton Beach was at the end of the totem pole when it comes to the tourism
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economy of southern Florida and no one has heard of Boynton Beach. Mr. Kastarlak
feels that Boynton Beach can become a tourist attraction and that he has the expertise
to accomplish this.
Mr. Kastarlak said he is the President of B.I.K. Enterprises, Inc., a Florida venture
company engaged in international trade, technology, tourism and real estate
development. Mr. Kastarlak said he had with him the consent of Mr. Peter Gondolfo,
owner of Wahoo’s Restaurant, if the concept can move forward, Mr. Gondolfo would be
willing to sell his property to Mr. Kastarlak’s group. Secondly, Mr. Kastarlak said he is
speaking on behalf of a group of a national investment and development company,
which he is unable to disclose at this time. Mr. Kastarlak stated that this national
company does business in the billions and their minimum project level is $100,000,000.
Mr. Kastarlak said he would like to discuss the Gateway destination Intracoastal Park
and explained what a destination is. Mr. Kastarlak had a consultant’s study completed
in 1970 by himself together with Harvard University and the study proves that attractions
drive the tourism economy. Mr. Kastarlak displayed a map and pointed out various
attractions in Massachusetts, as well as a national map of attractions. Mr. Kastarlak
said he has served as a consultant for over 30 years to 40-45 different municipalities,
state agencies, counties, and states. Mr. Kastarlak said he has traveled to 35 countries
and worked as a consultant in 17 of those countries.
Mr. Kastarlak pointed out that no economic studies have ever been done in Boynton
Beach. Mr. Kastarlak said there is no more manufacturing, but tourism, service
industries and retail are the driving force behind the economy. Mr. Kastarlak read the
definition of a “destination”.
Mr. Kastarlak said he has considered two destination locations in Boynton Beach. One
was downtown and the other is north on U.S. 1 where the current 10-acre park will be
located, next to Wahoo’s three acres. Mr. Kastarlak said that the Park Department
came up with a plan for the Intracoastal Park as a passive recreation. However, Mr.
Kastarlak said this is not a destination. This particular park would utilize approximately
60% for a paved parking space with a lake and a trail that goes around the park. The
City Club would also be located at the park, together with some shelters.
Mr. Kastarlak said these activities have already been envisioned in the promenade area
and the retention pond. The retention pond also will have a park and the entire
downtown would be a destination point where concerts and art festivals can take place.
Mr. Kastarlak said this area could draw 10,000 people at any given time. Mr. Kastarlak
said that this area offers the exact same attractions as the Intracoastal Park would offer.
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Mr. Kastarlak presented an aerial photograph of the proposed 10-acre park site and Mr.
Gondolfo’s 3.25-acre property. Mr. Kastarlak project would be offered to the City as a
partnership, and would require no funds from the City. Mr. Kastarlak pointed out on the
plan the proposed facilities for this property as follows:
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5-acre area would be zoned C-3 which would allow a 130-room hotel, a conference
center, restaurant, a parking garage (to keep the surface area free of paving);
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1.95 acres would be used for a recreation and entertainment center;
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2.98 acres would be used for townhouses and condominiums; and
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3.27 acres for common areas.
The entire area would be open to the public, except for the residential
condominiums. Twenty-five percent of the entire property would be dedicated as
common areas for the public.
Mr. Kastarlak said the hotel would be three stories high and 45’ in height, which is
allowed in C-3 zoning. A one-story restaurant would contain approximately 385 seats
and would be approximately 25’ in height. The conference center would consist of
12,600 feet, which could accommodate approximately 600 people, and would be one
story and 25’ in height. The parking garage would accommodate 500 cars and would
not exceed 45’. Mr. Kastarlak said that this part of the project would take up about 40%
of the entire 13 acres and pointed out the location of the buildings on the plan.
There would be a recreation and entertainment center for everyone, not just children. It
would contain approximately 80,000 square feet and would be three stories high. The
residential aspect would contain 30 units. They would be two-story condominiums or
rental units, 45’ in height. The marina would contain 100 slips. Mr. Kastarlak said he
envisions the entertainment center to be educational, scientific and would include mind-
expanding type experiences, which would be an asset for the community and would
assist in the education of the children.
Mr. Kastarlak pointed out the two access avenues that would lead all the way to the
waterfront and anyone coming to the area would have access to the waterfront. The
waterfront would be 720’ long and approximately 60’ wide. The entire waterfront could
be a location for power walking, jogging, etc. There would be picnic shelters, fountains,
lockers for the marina and a monument to the men who served this country. There
would also be approximately 65 ground-level parking spaces directly next to the
waterfront. Mr. Kastarlak said that his project offers more area for outside activities,
than the passive park and there would be parking for 622 vehicles.
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Mr. Kastarlak said that the benefits of his project would be:
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A major economic generator of new jobs and revenues to the City;
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A landmark complex of high quality buildings of art and architecture;
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An independent recreational facility to serve the City exclusively, without the County;
(The County is trying to use the City land to put more facilities for the County’s use.)
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24-hour access for the public;
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Longer trails and sidewalks;
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Landscaping/ vegetation;
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Large waterfront.
Mr. Kastarlak said the cost of the total package that he has presented, including the
acquisition cost of Wahoo’s on the Wharf, would be approximately $47 million. With
that kind of investment, the revenue potential would be enormous. According to his
research, the recreation center alone could generate between $200 to $1,000 per
square foot in gross revenue every year and the center contains 80,000 square feet. If
the agreement with the City contains a lease of the land, the City would keep the land,
and the City would get rent from the lease. Also, the City could possibly become a
shareholder and could benefit from the net proceeds of the restaurant, hotel and the
entertainment center.
Mr. Kastarlak said that this project would create jobs. During construction it is estimated
that approximately 200 permanent jobs would be created over a two-year period with a
payroll of approximately $9.6 million. After construction, for permanent employment,
there would be a minimum of 65 to 70 jobs created and this would generate an income
of over $1.5 million per year. Also besides receiving rent, the City would get the
commercial tax rates and this taxable revenue would exceed $320,000 per year. This
would be in addition to the lease and possibly a percentage of the revenues. Mr.
Kastarlak said this project would have a “ripple affect” upon the City in terms of
employment and income.
Mr. Kastarlak said he is not asking for any concessions at this point, but is simply
offering the City an opportunity to develop these destinations. Mr. Kastarlak said he
prepared and submitted to the City Manager a Project Planning and Control System on
how to organize the City. Mr. Kastarlak said he never heard from the City Manager on
this. The document sets forth how to organize the City and there are procedures and
organizations that are available to the City. In anticipation of the projects, three
planners, one urban designer, one transportation planner, one urban planner, one civil
engineer, one economist and one financial expert have been added to staff. Mr.
Kastarlak understood that some of these positions have already been filled. Also, Mr.
Kastarlak said he has one prospect that has expressed an interest in the Marina Project
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and conceivably the projects could be combined. Mr. Kastarlak said he would be glad
to answer any questions.
Mr. Black said the project was impressive and that it looks more like private
development and the citizens of Boynton Beach who don’t own a boat would have no
reason to go there. Mr. Black was under the impression that when making Boynton
Beach a destination, it would not all be at one location, but would encompass the entire
City.
Mr. Kastarlak said that the synergy of tourism requires that a person can walk from one
place to another within a reasonable time. If it takes too long to go from one place to
another within the City, it was not worth it. By putting all this in one location, they feed
into one another and that is the importance of the entertainment/recreation center. The
design of the building itself could become an experience, such as a crystal place.
Mr. Oyer said that he and his family have lived here for several generations and he can
see the pattern of economic development that is followed along the water. Mr. Oyer
said that one of the first things that bring in people of substance was boating facilities.
Mr. Oyer said that the taxpayers voted to buy the land and in prior cases, the City has
sold itself out to the County. Mr. Oyer said we should look more for what the City can do
for Boynton Beach, instead of having a partnership with the County Commission. Mr.
Oyer said it is important to have a partnership with private industry, but at the same time
to make sure that there are safeguards to ensure public access. Mr. Oyer said there
needs to be more emphasis on docking of larger boats. Mr. Oyer would like to see a
yacht club. Also, Mr. Oyer said the hotel should be larger and the number of
condominiums could be reduced.
Mr. Kastarlak noted that residential development is not an attraction. Residential
developments consume city services, etc. The purpose of the residential portion of his
project is that people who travel to the destination may want to stay close to it and that
is the purpose of the condominium.
Commissioner Denahan applauded Mr. Kastarlak on his very thorough presentation.
Commissioner Denahan said that Boynton Beach doesn’t have enough access to the
water and questioned whether the quality of life in Boynton Beach would be increased
by the ripple effect because of a revenue source that could possibly be located in
Quantum Park as opposed to the waterfront property. Commissioner Denahan felt that
the Boynton Beach Promenade from I-95 to the Intracoastal already gives Boynton
Beach a special niche. Commissioner Denahan said that the residents that live here
also want access to this property; more than just a pedestrian walkway and more than
just a park bench by the water.
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Mr. Kastarlak said that location is what real estate is all about and that Quantum Park
has sat idle for 10 years and no business benefits have come out of that location. Mr.
Kastarlak said they were doing the wrong type of marketing to get people into Quantum
Park. Mr. Kastarlak said that water is a great attraction, especially in Florida and his
project does not deny any access to the public to the waterfront. Mr. Kastarlak said his
project has more waterfront than the passive park project.
Mr. Black agreed with Commissioner Denahan that the quality of life is an issue for
everybody in Boynton Beach and in 1988 the residents voted for a bond referendum of
$10 million to make this area a park. Mr. Black said that at the Commission meeting
last night Commissioner Tillman stated that because the Commission now has two or
three new members, this does not mean that everything they did and say was “last
year’s Commission”. Mr. Black said a plan was adopted to build a park and now this
Commission wants to change it around.
Mayor Broening said he did not think that the best use for this land has been addressed
publicly in a long time. Mayor Broening said he had the two Ordinances, which
authorized the bond issue and there is not one word in the Ordinances about a park.
Secondly, Mayor Broening said that the previous Commission did not vote to make it a
park. There was a meeting, at which one Commission member was absent, and there
was consensus to move ahead with the park and some engineering was started. Mayor
Broening said there was never a vote on the project. Mayor Broening said this piece of
land is the one remaining jewel for development left in the City of Boynton Beach and
thinks there needs to be some discussion. Mayor Broening said he did not want to see
80 trailers parked on the most valuable piece of land in Boynton Beach because the
County wants to give us money.
Mr. Ron Washam said that input is needed from the people and that during the election
the citizens made it known what they wanted to do with this property. Mayor Broening
wants everyone to have the benefit of what might be available in terms of jobs,
improving our tax base and this would greatly affect the CRA.
A gentleman in the audience stated that in another decade all of southern Florida from
Miami to Vero Beach will be one and would be like Southern California. This has to be
accepted and the City must move forward. He also said that respect should be given to
developers who want to come in and better our community and that you cannot satisfy
100% of the people.
Mr. Mike Fitzpatrick stated that he has been in Boynton Beach four and one-half
decades and there used to be a lot more green space. Mr. Fitzpatrick said he would
like a place where he can live and look at the Intracoastal and doesn’t have to look
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through buildings. Mr. Fitzpatrick suggested taking some older area within the City for
development as opposed to the last open space in the City for more buildings.
Mr. Kastarlak said it is anticipated that 2 million people will be coming to South Florida
in the next ten years. Mr. Kastarlak stated that projects of this type would bring people
east of I-95 to develop more residential areas. Mr. Kastarlak did not think that the City
Club was necessary and the City would be saving $1 million because the hotel facilities
would be available to the citizens.
Mr. Fenton asked if a height adjustment was made to the hotel and it was made higher,
would Mr. Kastarlak consider giving more to recreational space. Mr. Kastarlak said he
would be agreeable, but did not think that much space would be made available.
Commissioner Weiland thought that the park was a “done deal” and now he sees two
streets with a waterfront area. Commissioner Weiland envisions this becoming a
private entity and most people in Boynton Beach would not recognize the area as a
place to go. Commissioner Weiland also asked if more green space could be added to
the project.
Mr. Kastarlak said he was trying to comply with the zoning code for C-3 zoning and it is
conceivable that the hotel could be made higher. In conclusion, Mr. Kastarlak said he
was present tonight to present an opportunity to the Board and feels his project is
doable and the funds are in place.
MAYOR BROENING DECLARED A RECESS AT 8:20 P.M.
THE MEETING RECONVENED AT 8:30 P.M.
IV. APPROVAL OF MINUTES – APRIL 26, 1999
Motion
Vice Mayor Tillman moved to approve the minutes of the April 26, 1999 meeting.
Motion seconded by Commissioner Denahan and unanimously carried.
V. UNFINISHED BUSINESS
A. Staff Presentation on Proposed City Club at Intracoastal Park
Interim City Manager Hawkins stated that Ms. Melody Green, Recreation
Superintendent and John Wildner, Parks Superintendent would be presenting some
facts about the proposed City Club building.
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Mr. Wildner took the podium and said he would explain the existing plan, which the
Board has looked at previously. Therefore, a complete presentation of the park plan
would not be necessary, but he would review the plan to answer some concerns that
have been voiced over the last couple of weeks. Mr. Wildner said he would speak
about the outdoor aspects of the plan and Ms. Green would speak about the City Club
and recreational programming.
Mr. Wildner informed the Board that the Intracoastal Park site was purchased with a
bond issue, but there was no funding in place for development of the park at the time
the land was acquired.
Interim City Manager Hawkins requested that the presentation proceed directly to the
City Club issue since all the Board members are familiar with the park itself. Mr.
Wildner said that the City Club would be located in the northeast corner of the park site
and would be adjacent to the Intracoastal Waterway. The Club would be a 7,000
square foot facility and would be a replacement for the Royal Palm Clubhouse, which
will be demolished because of the enlargement of Gateway Boulevard. The City Club
would be built in conjunction with a two-story picnic facility and an open area patio with
boardwalk decking and paver bricks to allow use by the public at all times. Mr. Wildner
said there would be a great deal of passive recreation available and there would be
complete access to the Intracoastal Waterway. There would be sail boarding and
canoeing.
Mr. Wildner stated that Ms. Green would address the Board on the interior of the City
Club. Ms. Green said she would like to address the concerns of the Chamber of
Commerce. The first question raised was how much space of the waterfront the City
Club would obscure. Ms. Green said the City Club is 7,000 square feet and would only
take up 1.5% of park space. It would be approximately 330 feet of the entire length of
the waterfront.
Ms. Green said that City Club would be replacing Royal Palm Clubhouse, which is
currently used by 42 groups and organizations, and is scheduled to be demolished
within three to six months. This would displace 2,100 people. Ms. Green said it could
be at any location, but some type of meeting space needs to be provided for the 2,100
people being displaced.
Commissioner Denahan inquired if 2,100 people monthly used the space and Ms.
Green stated it was monthly. Currently there are meetings and bridge taking place. Ms.
Green said the Royal Palm Clubhouse operates seven days a week from 8:00 a.m. to
12 midnight. Ms. Green said they are not able to accommodate all the clubs and
organizations that want to use the Royal Palm Clubhouse after 5:00 p.m. because of
lack of space.
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Another concern was if City Club would compete with private enterprise. Ms. Green
said City Club would replace the meeting space for non-profit groups at Royal Palm
Clubhouse. Most of these groups could not afford to go to a hotel or upscale facility like
Benvenuto’s for their weekly meetings.
Also, it was asked if the City Club would impact the location of a future Civic Center
close to City Hall. Ms. Green said the Civic Center has a very active recreation
programming use and is used from Monday through Saturday and sometimes Sunday.
The function of the Civic Center is to provide recreational activities and it is not a
meeting place. Ms. Green did not think that the City Club would impact private
enterprise since non-profit groups and organizations use the Royal Palm Clubhouse.
Ms. Green stated that whenever the City has needed dining/catering functions for
meetings and special activities, it has had to pay for it from private enterprise.
Also, Interim City Manager Hawkins stated that the new City Club would have modern
technology built in such as overhead projectors to allow for Power Point presentations
from a computer for use by outside organizations, as well as the City. Interim City
Manager Hawkins said there is a difference between a true meeting facility and an
entertainment space.
Mr. Fisher inquired why the City Club could not be placed elsewhere on the property so
that the Intracoastal view would not be blocked. However, Mr. Fisher stated that the
club couldn’t be moved because of the Johnson Sea grass.
Interim City Manager Hawkins noted that the other issue raised is all the space being
made available to accommodate the overflow parking for Boat Club Park.
Mr. Oyer said that the location of the Clubhouse was not important, but only that it
would be available. Mr. Oyer did not want to ruin this valuable piece of land. Mr. Oyer
suggested going over to the boat ramp and put a building on that space as far west as
possible and make a parking lot that would not allow trailers to provide for the people of
Boynton Beach. Mr. Oyer said the County should come up with its own additional
parking. Mr. Kastarlak stated Mr. Oyer’s suggestion was an excellent suggestion. Mr.
Kastarlak said the first suggested location for the City Club was at the boat landing area
and he designed the first floor plan for the building. Mr. Kastarlak said there is space
available at the boat landing and the building would fit nicely. However, at some point it
was decided to move the City Club to the Intracoastal Park site.
A gentleman in the audience asked why it was necessary to build a 7,000 square foot
building to replace a 1,400 square foot building. Ms. Green said a significant number of
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groups have requested to use the City’s facilities, not just the Royal Palm Clubhouse. It
was also asked if Lucille and Otley’s could be used to accommodate these groups.
Interim City Manager Hawkins said that Lucille and Otley’s is a senior center facility and
it will not be a recreation/meeting facility. Interim City Manager Hawkins stated that the
purpose of most senior centers is to provide necessary services and programs and
mixing other programs with that space could cause conflicts. Ms. Green said that not
only would recreational services be provided for the seniors, but also health, fitness and
social services. It is anticipated that this Center would be programmed night and day.
A woman in the audience inquired why the Royal Palm Clubhouse was being torn down
and Ms. Green replied because of the expansion of Gateway Boulevard. She also
asked if the non-profit organizations that use the Royal Palm Clubhouse pay for its use.
Ms. Green said they pay a nominal fee of either $25 or $50 per year, which in fact
means the City is providing a service for non-profit organizations.
Mayor Broening inquired about the vacant old high school and Mr. Hawkins said it
would cost approximately $5 million to bring the building up to code. It would cost
$300,000 to raze the building.
Mr. Edwards recalled at the last Neighborhood Summit Meeting that former Mayor
Taylor walked into the meeting and announced that the CRA had approved the park
concept. Mr. Edwards said the park should be built as originally intended and the City
needs a place for residents to bring their children to enjoy some scenery. Mr. Edwards
said the money should go downtown. Mr. Edwards said the City already has a
community center and the money could be used to enlarge that facility.
Ms. Sara Williams noted that the Martin Luther King corridor does not have any place to
meet and that she holds a monthly forum at the Bible Church of God because there is
no clubhouse available like other developments. Also, Ms. Williams said people in the
south end of the City are also looking for meeting space. Ms. Williams said that
meeting space should be considered in the City’s redevelopment plans and that instead
of building one big building, several smaller buildings could be built in different areas to
accommodate everyone’s needs.
Interim City Manager noted that there is a need for space and where the space goes will
be up to the community. Mr. Hawkins thanked Ms. Green for her presentation.
Ms. Shabotynskyj asked if this would be an agenda item in the future. Ms.
Shabotynskyj said she would like an opportunity to make their presentation again.
Mayor Broening agreed that it needs to be addressed again.
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B. Update on Progress Trail
Ms. Shabotynskyj, President of the Chamber of Commerce said that the Progress Trail
was her idea and when it was presented at a City Commission/Chamber workshop last
fall, it was suggested that the Chamber collaborate with the City staff and to develop the
idea. The idea was to take the City’s redevelopment, use a progress trail concept and
market the redevelopment through a progress trail. Ms. Shabotynskyj said a progress
trail is similar to a fitness trail, but instead of stopping to do exercises, you would stop
and learn about the progress of Boynton Beach, project by project. There have been
meetings since November and Ms. Shabotynskyj is on the Marketing and
Communication Team, from which the Progress Trail Team originated.
The Progress Trail Team consists of about 13 people, four of whom are City staff
members and Ms. Virginia Farace and Ms. Shabotynskyj are leading the effort. A
number of people from the private sector have been brought in to work on the project
and considerable progress has been made. The components of a progress trail have
been identified, which is basically a station consisting of a kiosk. On the kiosk would be
a storyboard that would give a person the concept of what the finished product would
look like, the cost, the architect, the general contractor, the time line and any other
pertinent information. There would be a brochure available about the entire Progress
Trail and there would be an up-date sheet about this particular project. Comment cards
would be available.
Seven locations for the Progress Trail have been identified:
1. 1913 Museum
2. The Ocean Avenue Promenade (Scully’s Block)
3. Bob Katz’s oldest house and the redevelopment
4. The 500 Block of Ocean Avenue, which would include Harvey Oyer,
Bob Katz and Chris Francois
5. The DOT Bridge Project
6. The Marina Project
7. The Port Promenade, which is another name for the extension of
Boynton Beach Boulevard.
Mr. Shabotynskyj showed a prototype of the kiosk to the Board and the audience and
said they anticipate having the first kiosk placed in front of the 1913 Schoolhouse
stth
between June 1 and June 15. Brochures will be prepared which would be ready by
July 15th. The remainder of the kiosks should be displayed between August and
September.
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Ms. Shabotynskyj said that a public/private partnership has been organized to market
the redevelopment through the promotion of a Progress Trail. The cost of the kiosk
would be between $1,800/2,000 each. A sponsor for one of the kiosks has been
located, together with a sponsor for the design and publishing of the Progress Trail
Brochures. A volunteer has been recruited to work on the map design and a
manufacture of the signs has been secured. The life of the kiosk is anticipated at two
years and after that the kiosks could be used elsewhere in the City.
On top of the kiosk would be a sign that would encompass the themes and colors
identified in the Visions 20/20 Plan, such as a Compass Rose. Also, if the kiosk were
off the street, there would be notification on how to get to that particular station.
Ms. Shabotynskyj said they are asking the CRA to support the Progress Trail Plan and
to identify and give direction on the funding of its components. Ms. Shabotynskyj stated
that the City’s Building Department is going to cover the expense of the permits and
fees, which is approximately $250. American Recycled Plastic has sponsored the first
kiosk. Funding for seven stations would be approximately $14,000. The Chamber
could sell the sponsorships for $2,000 and the Chamber would act as the go-between.
Also, the City and CRA funds could partially or totally fund the kiosks.
Also, the Chamber is seeking direction on the marketing of the Progress Trail and the
Chamber anticipates a kick-off event, which is estimated at $1,000. There would be
mailing expenses of $500 and an advertising campaign estimated at $1,000 per month.
The Chamber would also like the CRA to appoint a point person to monitor the Progress
Trail and to keep the CRA informed. This could be staff and/or a member of the CRA
Board.
The question was asked which private companies are putting money into the Progress
Trail and Ms. Shabotynskyj stated the Palm Beach Post is doing the brochures and the
Sun Sentinel will do something, but it hasn’t been identified yet.
Mr. Wische asked how much total funds the Chamber would need from the City. Ms.
Shabotynskyj said it depended on what the CRA wanted to fund. If the CRA funded
everything, the cost would be $14,000 for the kiosks and $24,000 for the advertising
campaign for two years. Mr. Wische asked which portion would the Chamber be
contributing and Ms. Shabotynskyj said they have not identified any expense, as they
have been providing professional services, volunteers and resources.
It was determined that approximately $39,000 would be the total expense.
Commissioner Weiland suggested that park benches and buses could have
advertisements on them.
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Mayor Broening liked the idea and said they needed an opportunity to review the
funding requests. Mr. Hawkins liked the sponsorship idea as the first approach to the
funding. Mr. Hawkins said that a group of small businesses could chip in to purchase a
kiosk. Mr. Hawkins said the CRA could be a back up to make up any shortfall. Mayor
Broening noted that the marketing expenses are long term.
Commissioner Denahan said that the Visions 20/20 Plan specifically earmarked funds
for marketing and thought it was in the vicinity of $35,000 per year. Mr. Hawkins said
that this would be the first marketing strategy. Commissioner Denahan said she did not
see this funding listed in any of the figures and Mr. Hawkins said it has never been
included in the current budget. Mr. Hawkins noted that the Visions 20/20 Plan identified
marketing as an important component and gave a recommendation of the necessary
funding.
Commissioner Denahan said she would like to see the Progress Trail become
successful and would like the Commission to strongly back up this effort.
Ms. Sara Williams asked how the projects were selected. Ms. Williams said she has
heard no plans for the more undesirable areas of the City. Ms. Shabotynskyj stated that
all the development is in one area, which is the core redevelopment area and the CRA
has not identified any projects outside that area. Ms. Shabotynskyj said that other
projects were discussed, but it was felt these projects could get most easily started and
that the Progress Trail is a walking trail.
Commissioner Denahan stated the Progress Trail would be around two miles and it
would be difficult to spread it too far out.
Commissioner Sherman requested that Ms. Shabotynskyj bring back to the CRA a
break down of the total cost so that the City could determine how much it wanted to
contribute. Ms. Shabotynskyj felt it was the City’s job to determine how much they
wanted to market the redevelopment. Ms. Shabotynskyj stated that out of the total of
$39,5000, the Chamber could possibly match 50% from the private sector.
Mayor Broening said he could support the concept wholeheartedly and noted that there
needs to be some marketing and this appears to be a viable way to do some of the
marketing. Ms. Shabotynskyj requested that the CRA Board take this to the City
Commission at their next regular meeting and have some kind of formal action because
st
the Chamber would like to have the first kiosk in place by June 1. Also, Ms.
Shabotynskyj would like to have a point person in place either from staff or the CRA
Board to participate in the Progress Trail.
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Commissioner Weiland inquired if other alternatives were looked at and thought $2,000
was a lot of money for a plastic kiosk. Ms. Shabotynskyj said there are other
alternatives, but they did not have the shelf life and the Chamber thinks this is the best
way to go.
Commissioner Denahan said she would be in agreement to support the project at 50%
funding by the City. Also, the Chamber would have to be asked to be the intermediary
and Commissioner Denahan asked for a consensus from the Board that this be placed
on the agenda.
Mayor Broening asked if anyone else in the audience wished to speak.
Mr. Scully said he had concerns regarding some of the information from the last
meeting that Ocean Avenue would be closed down for a certain amount of months. Mr.
Scully said he did not want to have to move his business. Mayor Broening said that a
city couldn’t be redesigned without having construction and disruption. Mayor Broening
did not think it would be a long time for the disruption of Mr. Scully’s business. Mayor
Broening noted that the store would be inconvenienced, but felt most of Scully’s
customers would continue to come to his store.
A woman in the audience asked if both sides of the road would be closed and Mr.
Hawkins said it is possible that the entire road could be closed at the same time. Mr.
Hawkins did not have a time line and it is possible it could be 18 months.
Commissioner Weiland stated that access to the property would not be denied. Vice
Mayor Tillman said that signs could be placed on the adjoining roads to bring the
customers in. Mr. Scully said he could not make it because he would not be able to
accommodate the lunch crowd.
Mr. Hawkins said everything would be done to limit the negative impact on Mr. Scully’s
business and Mayor Broening stated that everything would be done to facilitate
entrance to Mr. Scully’s property. Mr. Scully said that the County has invested a great
deal of money in his business and if he doesn’t make it, nine people will be out of jobs.
Mayor Broening also said that the City would do whatever it can to encourage people to
support the businesses that are being affected by the redevelopment.
Mr. Kastarlak said that if the City establishes the proper project planning and control, it
would be known in advance the schedule, cost and all other ramifications before the
project ever starts. Mr. Kastarlak felt this particular project should not take more than
six months to complete.
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Interim City Manager Hawkins said the City is doing this project totally in the open.
There is a project team that would be developing a construction schedule and the final
design will be brought back to the people. People on that street will know what is going
on from the start to finish and will be involved in the process. Mayor Broening stated
that the Commission is very sympathetic to the business owners on the street.
Ms. Williams asked if there are plans for the redevelopment of the Martin Luther King
quarter and asked if the City plans to purchase the property on the north side of MLK
Blvd. for the Utilities and Public Works Departments.
Mayor Broening stated the City is committed to doing the infrastructure improvements
and for redevelopment of most of the properties, they will have to rely on private
industry. Mayor Broening said that the City has to show that it has done something
successful with a private developer with the downtown section in order to attract
business to do other projects. Ms. Williams said that this area continues to be passed
over and something needs to be done to provide peaceful living in this area. Ms.
Williams questioned the method of spending the $500,000 in community block grant
funds.
Mr. Edwards said that the MLK community needs to initiate a partnership with the City in
order to be able to spend some of the money. Mr. Edwards said that more money has
been spent on that community than any other community. Mr. Edwards said there must
be a community initiative and people need to take ownership for their own problems.
Mr. Fitzpatrick said he purchased a lot for $33,000 and has $30,000 in cash and has a
great credit rating, but cannot borrow $127,000 and can’t get a loan because the
property is in a “bad place”. Mr. Fitzpatrick said the property is 300 yards from City Hall.
Mr. Fitzpatrick would like to know what direction this neighborhood is going and the City
should help residents who are trying to overbuild the area. Also, Mr. Fitzpatrick stated
the building permit fees are $7,408. It was noted that this includes county impact fees
and other fees.
Vice Mayor Tillman said that two major issues came up tonight that need to be
addressed. Besides the rezoning and variance issues, the City needs to set aside
some funds to be available when projects come up. The City has revenue sources and
the City should put some challenge grants into the budget in order to move forward and
allow citizens to come in and ask for assistance in an organized way.
VII. NEW BUSINESS
A. DATE FOR NEXT MEETING; WEDNESDAY, JUNE, 1999
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VII. OTHER
None
VIII. PUBLIC AUDIENCE
IX. ADJOURNMENT
Mayor Broening thanked everyone for attending this evening. There being no further
business, the meeting properly adjourned at 9:45 p.m.
Respectfully submitted,
________________________________
Barbara M. Madden
Recording Secretary
(three tapes)
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