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TRANSPORTATION AGENCY FOR MONTEREY COUNTY Memorandum | |
| | | | | | | | | To: | Rail Policy Committee | | From: | Debra L. Hale, Executive Director | | Meeting Date: | June 1, 2020 | | Subject: | Fort Ord Property Management and Development |
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| | | | | | | | | RECOMMENDED ACTION: | RECEIVE update on Agency activities related to property management and development opportunities for its 12.1 acres of property on the former Fort Ord.
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| | | | | | | | | SUMMARY: | | Transportation Agency staff have implemented a variety of actions to enhance management of Agency property on the former Fort Ord and explore future development potential. |
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| | | | | | | | | FINANCIAL IMPACT: | | The total contractor cost for this work was approximately $110,000. Funding for this effort was provided by Monterey Branch line lease revenues. |
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| | | | | | | | | DISCUSSION: | TAMC currently owns 12.1 acres located on the former Fort Ord within the City of Marina (see location map, attached). The property is east of Highway 1 adjacent to the Monterey Branch Line. Seven buildings totaling 100,000 square feet are currently located on the site (see building map, attached). The Army used the buildings, constructed between 1941 to 1953, as warehouses to support the military mission at the former Fort Ord. Approximately half of the building square footage is wood construction and the balance are of concrete construction. About half of the buildings have been used by local non-profit or governmental organizations since 2005 for storage purposes.
In March 2019, the TAMC Board authorized the use of Monterey rail line lease revenue to cover property management and related expenses. Since that time, staff has completed a number of actions designed to secure the property and explore future development opportunity as summarized below. A comprehensive electronic file system was also set up on the TAMC server to enhance organizational continuity with the property.
Property Management
Vista Environmental Consulting completed a pre-demolition survey of the warehouses. The survey information indicates that all of the wooden structures are unsafe for occupancy due to the presence of friable asbestos and lead. Further, building No. 2064 is a safety hazard and should be demolished as soon as possible due to extensive vandalism. The concrete buildings are safe for low level occupancy.
All tenants have been moved into safe structures. In addition, while in prior years there were no tenant leases, a standard lease was developed and distributed to all tenants. All leases have been or are in the process of being executed. The leases contain the necessary disclosures, best management practices, and use restrictions.
TAMC staff arranged a tour of the property with its current insurance carrier. The insurance agency has indicated that the existing policy sufficiently covers the Agency's liability.
In cooperation with the City of Marina, the entire site and adjacent City property, 4.1 acres, is in the process of being fenced to limit unauthorized access and future vandalism.
The Fort Ord Reuse Authority is in the process of securing bond funding to demolish specified buildings in former Fort Ord. Under the FORA bond agreement, 7% of the bond removal proceeds will accrue to TAMC for demolition of these buildings. Staff has notified FORA and the City of Marina of the high priority for removal of the wooden buildings on the TAMC property.
A local structural engineering firm, Uyeda and Associates, conducted a preliminary analysis of the existing concrete buildings. The consultant report indicates the buildings were originally constructed over a landfill and they do not meet current code requirements. While the concrete buildings do not pose an immediate hazard, extensive structural reinforcement would be required before future active or high level occupancy. The conclusions of the analysis would recommend against adaptive reuse of the structures.
Development Potential
The TAMC property is located at a transportation crossroads within former Fort Ord. The adopted FORA reuse plan currently designates the site Mixed Use with a multi-modal transportation facility, while the Marina University Villages Specific Plan designates the site for use as a Public Facility. As future development in the surrounding area matures, the site has the potential to provide critical linkage between the greater Monterey Bay region and residents of The Dunes development as well as students of Cal State Monterey Bay. The site is well positioned to support transportation improvements necessary to serve as a gateway for bringing visitors to the City of Marina's planned “Arts District” on the adjacent property. In addition, the property can promote achievement of circulation improvements embodied in local plans and approved projects.
TAMC staff has recently completed a number of actions to explore how future development could build off the locational and transportation assets the site offers while complimenting the development projects planned for the former Fort Ord and the adjacent area. As part of this effort, Wald Ruhnke Dost (WRD) Architects and Whitson Engineers were retained to work with the TAMC team. Pertinent findings of the development opportunities and constraints analysis completed to-date are as follows:
• The site will have significant development potential based on high visibility from Highway 1, potential future transportation improvements running through and immediately adjacent to the site, proximity of the Fort Ord Dunes State Park and the high level of future residential units to be provided as part of the Dunes at Monterey Bay project within the City of Marina.
• Site development could include a mix of higher density market rate/affordable housing and commercial uses that would help offset the costs of transportation facilities targeted for the area. The value of the site would be enhanced if it were developed in combination with the City of Marina planned “Arts District” and the Dunes project.
• The timing of future development within Fort Ord is uncertain, particularly in light of economic conditions related to the current health crisis. TAMC should retain ownership of the property in order to capitalize on future transportation opportunities while working to minimize holding costs. Staff should also continue its efforts to work with Monterey Salinas Transit in pursuing the potential bus rapid transit system which could capitalize on the property.
• Based on information compiled by Whitson Engineers, major new infrastructure will be extended into the area as part of the Dunes Phase Two project. TAMC staff should coordinate with the Dunes developers and the Marina Coast Water District to ensure that facility sizing and location supports future development of the TAMC property.
• TAMC should plan and develop the property under an agreement with the City of Marina and/or the developers of the Dunes project. The Dunes project virtually surrounds the TAMC site and the existing development team has extensive experience with the area as well as successfully bringing projects to fruition.
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