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Commission approves up to $200,000 for Hartford project streetscape, landscaping covenant

5387523 · June 3, 2025
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Summary

The Manhattan City Commission voted 5-0 June 3 to authorize a development agreement allowing the city to pay up to $200,000 (up to 50%) toward public infrastructure improvements along Points Avenue, Eighth Street and Houston Street for the Hartford building and to authorize a restrictive covenant for landscaping maintenance.

The Manhattan City Commission on June 3 approved a development agreement authorizing the city to pay up to $200,000 — up to 50% of the cost — for public infrastructure improvements tied to the Hartford building project on Points Avenue.

City staff said the improvements will include streetscape work along Points Avenue to match the historic downtown character, diagonal public parking, relocated sidewalks and upgraded ADA ramps at Houston Street, planting of overstory trees and landscape beds, and an outdoor dining patio with a rock wall maintained by the property owner. "The city would participate in up to 50% of the public improvements with a not to exceed amount of $200,000," said Stephanie Peterson, director of community development.

The development agreement makes improvements installed in the right of way city property, owned by the city; the agreement also authorizes a restrictive covenant under which the Hartford property owner will maintain certain landscaping and a rock wall around the patio and several steps that address site topography. "The developer still will be responsible for maintaining it," Peterson said, noting developers have committed denser screening than typically required to reduce headlight glare into the neighborhood.

Commissioners and staff said the diagonal parking proposed on Eighth Street will be open to the public, not reserved for building residents or patrons. Peterson said the city recommends paying the contribution from the 70% portion of a 2023 sales tax earmarked for public infrastructure. The packet for commissioners also noted the developer previously received a performance-based property tax abatement and a sales tax exemption approved in October; Peterson said the full abatement is contingent on a $15,000,000 investment and minimum commercial occupancy thresholds.

A city public works representative and the city’s neighborhood liaison said they had not received unresolved objections from nearby residents about the landscaping plans or the diagonal parking; Brayson, the liaison, told commissioners the neighborhood had seen the plans and was comfortable with the proposed screening. A developer representative said the project’s goal is to have "heads in beds by May of 2026," contingent on weather and getting construction started.

The commission voted 5-0 to authorize the mayor and city clerk to execute the development agreement and to authorize execution of the restrictive covenant for landscaping maintenance. The motion carried following a roll call with all five commissioners voting yes.

The agreement formalizes which public improvements the city will accept and which items the developer will maintain; city staff said it is the final step after earlier review in October and December. Peterson said the developer has gone beyond typical Municipal Development Code screening requirements in response to neighborhood concerns.

Commissioners asked staff to clarify parking access, including access to a proposed bank drive-up window (street egress will be right turns onto Points Avenue) and whether curb extensions or paint treatments will be used at certain corners. Peterson said the primary vehicular access to the lot will be through the alley.

Implementation of the project still depends on the developer meeting performance conditions for tax incentives and completing construction permitting and work. The city’s contribution is limited to the not-to-exceed $200,000 amount and a 50% participation cap.