Feasibility study finds former Rite Aid building feasible for municipal uses; floodplain and funding questions remain

City staff presented a feasibility study and conceptual analysis for the former Rite Aid building as a potential municipal facility; the study indicates remodeling is likely less expensive than building new and that the building offers usable space for city needs, including options such as splitting space for city hall and police functions.

Staff noted a few complicating factors highlighted in the feasibility report: floodplain elevations that may require mitigation, cost estimates that reflected conceptual per-square-foot assumptions rather than detailed design, and a title issue involving parking rights granted to an adjacent property (the title reportedly included perpetual parking rights that the adjacent owner would be willing to release). Staff said these items merit additional study, including a survey to clarify elevation and floodplain boundaries, which could reduce the need for costly flood mitigation if the site is above the railroad tracks as some recall.

The consultant’s conceptual layouts included increasing the city’s usable space (the study mentioned taking 9,000 square feet and adding 16,000 in planning scenarios), phasing options, and consideration of tapping available funding sources such as law-and-justice grants for police space. Staff emphasized a goal of avoiding a taxpayer funding burden and said various funding pots (water, sewer, garbage enterprise funds and other sources) could share space-related salary and occupancy costs if the city-owned building houses multiple functions.

Council members asked whether projections reflected current staffing and whether the study represented an aspirational future need or a near-term requirement; staff said the study is a planning-level “want” list and that architects would refine concepts if the council decides to proceed. Staff recommended phasing and pursuing grants where appropriate.

Why it matters: repurposing an existing commercial building could provide municipal office and police space without new construction, but floodplain, title, and funding questions must be resolved before committing to purchase or renovation.

Next steps: staff and consultants recommended further survey work to resolve floodplain elevation questions, follow-up on the title-parking arrangement, and development of phased concept designs and funding strategies for council consideration.