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HomeMy WebLinkAbout2006-01-17 Board of Selectmen PacketRE: Addison-Wesley Traffic info for web-posting Page 1 of 2 Hechenbleikner, Peter From: Hechenbleikner, Peter Sent: Monday, January 09, 2006 9:42 AM To: Reilly, Chris; 'Askin, Richard' Subject: RE: Addison-Wesley Traffic info for web-posting The expectation is that SMW will make a presentation on the traffic - not more than 30 minutes. The Town's peer consultant will present to the Board of Selectmen the information previously requested, (Saturday counts) and summarize his findings. The Board of Selectmen and the CPDC will then have an opportunity to ask any questions they have, and then the meeting will be opened to the public to Q & A. The CPDC will be there to fully participate as they would like, and of course to observe and listen. The Board of Selectmen will, at the conclusion, make any further statements that they have, and then close the meeting. Pete From: Reilly, Chris Sent: Monday, January 09, 2006 8:55 AM To: Askin, Richard Cc: Hechenbleikner, Peter Subject: RE: Addison-Wesley Traffic info for web-posting I believe the selectmen expect a presentation by our peer reviewer and then Q&A with public. I don't think the CPDC expects to play a prominent role-they plan to just observe and take direction from BOS on how they want to proceed with the access issue so that can be put to bed. Peter can tell you otherwise if a different format is expected. Cluis Reilly Reading Town Planner 16 Lowell St. 01867 781-942-6612 fax 781-942-9071 htti.://www. ei.reading.ma.us/Dlannhia From: Askin, Richard [mailto:Richard.Askin@srweiner.com] Sent: Sunday, January 08, 2006 10:07 PM To: Reilly, Chris Subject: RE: Addison-Wesley Traffic info for web-posting Thanks Chris. By the way... have you heard anything specific about the format of the meeting on the 17th? We still haven't any information on what to expect, e.g., whether we make a presentation, or just Q&A of peer review, etc Regards, Richard From: Reilly, Chris [mailto:creil ly@ci. read i ng. ma. us] O 1/9/2006 RE: Addison-Wesley Traffic info for web-posting Page 2 of 2 Sent: Sat 1/7/2006 11:18 AM To: Askin, Richard Subject: RE: Addison-Wesley Traffic info for web-posting Richard Thanks for the heads up-I will make sure I address that. Hope all is well, see you 1.17. Cluis Reilly Reading Town Plainer 16 Lowell St. 01867 781-942-6612 fax 781-942-9071 litt-o://www.ei.readinii.ma.us/.Dlaiuiiiig 1/9/2006 Memo To: Richard W. Schubert, Chairman, Reading Board of Selectman From Dave Billard, Reading Assessors Office Date: 01 /12106 Re: Addison-Wesley Assessed Value of the Addison Wesley Publishing properties Per your request, please find below the assessed value of each of the eight parcels owned by Addison- Wesley Publishing for fiscal year 2006. These eight parcels comprise the 22.8 acre site and are improved with 194,292 square feet of gross building area. Mao - Parcel FY06 Assessed Value 004 - 011 A $206,000 004 - 025 $6,733,600 005 - 002 $7,945,100 005 - 005 $166,000 005 - 013 $2,418,000 005 - 016 $468,600 005 - 017 $163,500 005 - 018 $173,200 Total ' ' $18,274,000 0 Page 1 Greenman - Pedersen9 Inc. Engineering and Construction Services MAX-2005104.00 January 4, 2006 Mr. Christopher Reilly Town Planner 16 Lowell Street Reading, Massachusetts 01867 SUBJECT: Park Square at Reading Dear Mr. Reilly: In response to the concerns raised about the Holiday and Saturday traffic levels at the December 6, 2005 Selectmen's Meeting, E&K has provided GPI with additional traffic count data for the Route 28 Corridor. The data included historical counts obtained from MassHighway for a weekday period from October 2004, as well as new counts obtained by E&K for December weekend and weekday conditions (12-17-05 thru 12-19-05). the data is presented in Attachment A and summarized below: • III general traffic levels have decreased along Route 28 since 2001. With a 21% reduction under average conditions between 2001 and 2005. • Based on 2004 and 2005 average conditions, there has been an increase in traffic along Route 28 of approximately 3%. • Based on the available data, December traffic levels along Route 28 are approximately 3% higher than average conditions. • Based on the available data, June traffic levels along Route 28 (used for the traffic study) are approximately 5% higher than average conditions. 4 • Daily traffic levels on a Saturday in December are approximately 9% lower than weekday dally traffic levels. However, traffic levels during the Saturday peak hour are approximately 12% higher than those during weekday peak hour. • Daily traffic levels on Sunday in December are approximately 27% lower than the weekday daily traffic levels and the Sunday peak hour traffic levels are approximately 5% lower than the weekday peak hour traffic levels. • Available MassHiahway data was evaluated,to determine trends in traffic levels during the Holiday season in areas with large retail centers. I-93 near the Braintree Plaza, Route 53 in Hingham near the retail area, 1-95 near the Burlington Mall and Route I in Westwood were evaluated to compare the December traffic levels to average conditions as well as conditions in June. With the exception oi' December 2001 on Rte 53 in Hingham, traffic levels in December were consistently lower than the average conditions by 1%-12%. • Similarly, traffic levels in June adjacent to these retail areas were consistently higher than average conditions by between 2%-13%. Also, June traffic levels were consistently higher than levels in December by between 7%-15%. • Based on the existing traffic levels on Route 28 under December 2005 conditions and the projected traffic anticipated by the proposed project, the following increases are expected. o Weekday Daily Traffic will increase by 43%ysouth of South Street and 8% north of South Street 105 Central Street, Suite 3100, Stoneham, MA 02180 Tel: (781) 279-5500 Fax: (781) 279-5501 www.gpinet.com GPI Mr. Christopher Reilly January 4, 2006 Page 2 of 3 o Weekday Peak Hour (PM Peak) will increase by 53% south of South Street and 10% north of South Street o Saturday daily traffic will increase by 63% south of South Street and 12% north of South Street. o Saturday midday peak hour will increase by 66% south of South Street and 12% north of South Street. o Sunday daily traffic will increase by 36% south of South Street and 7% north of South Street. o Sunday midday peak hour will increase by 44% south of South Street and 8% north of South Street. While it is recognized that traffic levels vary by location and characteristics of the area (i.e. other competing retail, etc.) the available data in Reading and in the vicinity of other existing retail areas in the state indicate that the December traffic levels are closely approximated by the average conditions. Similarly the total daily traffic on a Saturday in December is generally lower than the total weekday daily traffic, however, the Saturday Peak Hour Traffic is significantly greater than the peak hour during the weekday. The project will have significant increases on traffic levels south of South Street with lower impacts along Route 28 north of South Street. The proponents engineer is utilizing the Saturday Peak hour as the worst case scenario for analysis and mitigation purposes which is consistent with the trends and patterns of traffic volumes along Route 28 and other major roadways in the vicinity of retail establishments. Furthermore, based on historic data, June traffic volumes (as used for the proponents analysis) are generally larger than the annual average volumes. Should you have any questions, or require additional information, please contact me directly at (781) 279-5500 ext. 3008. Very truly yours. GREE MAN-PEDERSEII'IINC. John W. Diaz, P.E., P.T.O.E. Assistant Vice President 4 TRAFFIC VOLUME COMPARISON RTE 28 READING MHD Sta 66 67 TOTAL 68 69 TOTAL 68 69 TOTAL 68 69 TOTAL 68 69 TOTAL Peak Hour Volumes October 01 vs Oct 04 Dec 01 vs Dec 05 2001 Average ADT weekday: 2004 Average ADT weekday: 2005 Average ADT weekday: Annual Change (01-05): Annual Change (04-05): Location Rte 28 South of 1-95 Rte 28 South of 1-95 Rte 28 South of 1-95 Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North. of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St Rte 28 North of South St -24% -23% 28,367 21,795 22,487 -21% 3% Direction Date NB 10/18/2004 SB 10/18/2004 Combined NB 10118/2004 SB 10/1812004 Combined NB 12-19/20-05 SB 12-19/20-05 Combined NB 12/17/2005 SB 12117/2005 Combined NB 12/18/2005 SB 12/18/2005 Combined NB SB Combined December 05 is June is approximately December is approximately December Daily Traffic Saturday vs Weekday Sunday vs Weekday December Peak Hour Traffic Saturday vs Weekday Sunday vs Weekday Weekday 20,866 15,470 36,336 10,580 11,660 22,240 12,230 10,952 23,182 1,168 776 1,944 4% 5% 3% Sat 13,868 7,188 21,056 Sun 9,829 7,171 17,000 1,566 1,064 1,566 781 3,132 1,845 higher than Oct 04 higher than average conditions higher than average conditions -9% Saturday is 9% lower than Weekday -27% Sunday is 27% lower than Weekday 61% Sat is 12% Greater than Weekday -5% Sunday is 5% lower than Weekday i TRAFFIC VOLUME COMPARISON RTE 28 READING RETAIL LOCATIONS i Location i December t June i Average de ----L------------------------------L--------------J---------------- ---------------1-----------------------------L----------~ _ 1.95 Burlington north of Middlesex _ 157,304 185,351 i 178,250 -12% ; 4% ; -15% - F------------------------------E--------------------•i--------------------------------------I--------------- i- I-93 Braintree btw Rte 37 and So E Ex ; 186=437 i 220,047 ; 208=199 ; -10% 6% -15% - 5 /o 201,459 ; 223,872 ; 212,912 -----ri -_--o -------------------------------------------__-r- '---°-----°--°-°--------------°----rL°- ' 1 208,187 t 223,521 t 219,598 -5% --rl -------------o Rte 53 Hingham 10,791 11,700 i 11,015 -2% i 6% i -8% ___________L------_--------_-___---------------- L 11,574 12,709 _ 11,251 1 3% 1 13% 1 -9% ---------------------------------F------------------------------F---------------------i-------------- - - --------------i------_ -o--`---~------- o -----f-----_8% 11,855 ; 12,882 ; 11,992 It ----------------°-----`----`-----------_---__r°------_----------- r--------°°°_-_--_r--------------- T----___-_--_-"-r----- r------ Rte 1 Westwood north of Norwood ; 49,017 ; 53,323 ; 50,383 ; -3% ; 611/0 -8% 49,446 53,307 49,773 i ; ~ ~ ' 7 ~a L..----__-_---...-.---_-_-_-__-L--___-__-_.__-_-----T------------- 47,031 51,550 49,384 . .-..1- -5% 4% ~ L-.-_-- -9% AVERAGE 93,310 104,826 100,276 -7% 5% 11% SOURCE: MassHighway % of AVE Annual % of AVE AVE % of AVE Month 2001 1 Annual 2002 Change Annual (018,02) Annual Jan 25,773 91% 26,031 1% i 92% 25,902 92% r r Feb t 25,847 i 91% 26,256 i 2%+93%0 26,052 ;92%___ Mar 27,000 95% - 1 26,800 -1 % t 95% 26,900 t 95% Apr I 28,330 t 100% --..------.----------_---1---------------L-.__---..---__ 28 581 I 1 % I 101% 28,456 1-__-------_- t 101% Ma 103% 29 302 _ 105 29 49$ T61 - % ; , ; - , ; . ; % - - June ; 29,982 t 106% 29,534 ; 1 % I 105% ---r'----_----_---` 29,758 ; 105% Jul t 28,380 t 100% - y 0,_007 30007 I 6% t _-_106% 29,194_-- i--_103% Au t 28=336 100% 29,158 I 3% 103% 28,747 ' 102% Sept__-___---- 29,000 102% ----------F------------------------------F----------------------------------- 28,604 1 % 101 % ----=-------------------i--------------- - 28 802 102% i------------ Oct ; 29,253 ; 103% 28,450 ; 101% 28,852 ; 102% Nov ; 28,984 ; 102% - 27,434 ; _o o 5 /o 97 /0 28 209 , 100 /o - Dec 30,212 i 107% 28,000 i -7% i 99% 29,106 103% AVERAGEANNUAL 28,367 i ( 28,196 i -1% i 28,281 Source: MassHighway Count Station 407 - Stoneham, Rte 28 south of Reading T.L. Summary: October is between 1-3% higher than average conditions - Annual Traffic Levels stable with slight decrease DAILY TRAFFIC SUMMARY Percent of Site Traffic to south: 80% Percent of Site Traffic to north: 15% Total Prop South Existing* Proposed*' of South St Daily 23,182 12,544 10,035 AM PEAK 1,572 262 210 PM PEAK 1,766 1,172 938 Daily 21,056 16,597 13,278 Midday Peak 1,948 1,598 1,278 Daily 17,000 7,572 6,058 Midday Peak 1,719 936 749 * Based on December 2005 Traffic Counts Based on Traffic volumes by E&K and confirmed b y GPI Prop North Total south Total north % Increase % increase of South St of South St of South St south of South St north of South St Weekday 1,882 33,217 25,064 43% 8% 39 1,782 1,611 13% 3% 176 2,704 1,942 53% 10% Saturday 2,490 34,334 23,546 63% 12% 240 3,226 2,188 66% 12% Sunday 1,136 23,058 18,136 36% 7% 140 2,468 1,859 44% 8% 9 RE: Addison-Wesley Traffic info for web-posting Hechenbleikner, Peter From: Askin, Richard [Richard.Askin@srweiner.com] Sent: Tuesday, January 10, 2006 1:49 PM To: Reilly, Chris; Town Manager Cc: Brad Latham (E-mail) Subject: RE: Addison-Wesley Traffic info for web-posting Hi Pete: Chris asked that I forward the fiscal impact analysis. Attached please find: "Fiscal Impact Analysis: Report", dated November 2005 "Fiscal Impact Analysis: Summary of Findings"; dated November 2005 Page 1 of 4 Thank you for describing the format of next Tuesday's public meeting. We look forward to making the presentation and of course taking questions. Best Regards, Richard -----Original Message----- From: Reilly, Chris [mailto:creilly@ci.reading.ma.us] Sent: Tuesday, January 10, 2006 1:19 PM To: Askin, Richard Subject: RE: Addison-Wesley Traffic info for web-posting Richard, Could you please email peter the latest copy of the fiscal impact analysis? Thanks Chris Reilly Reading Town Planner 16 Lowell St. 01867 781-942-6612 fax 781-942-9071 http://www.ci.readinia.ma.us/-olanning From: Askin, Richard [mailto:Richard.Askin@srweiner.com] Sent: Sunday, January 08, 2006 10:07 PM To: Reilly, Chris Subject: RE: Addison-Wesley Traffic info for web-posting Thanks Chris. By the way... have you heard anything specific about the format of the meeting on the 17th? We still haven't any information on what to expect, e.g., whether we make a presentation, or just Q&A of AomIL 1/10/2006 RE: Addison-Wesley Traffic info for web-posting Page 2 of 4 peer review, etc Regards, Richard From: Reilly, Chris [mailto: creilly@ci. reading. ma. us] Sent: Sat 1/7/2006 11:18 AM To: Askin, Richard Subject: RE: Addison-Wesley Traffic info for web-posting Richard Thanks for the heads up-I will make sure I address that. Hope all is well, see you 1.17. Chris Reilly Reading Town Planner 16 Lowell St. 01867 781-942-6612 fax 781-942-9071 httD://www.ci.readinii.ma.us/planning From: Askin, Richard [mailto:Richard.Askin@srweiner.com] Sent: Friday, January 06, 2006 10:35 AM To: Reilly, Chris Subject: RE: Addison-Wesley Traffic info for web-posting Hi Chris: How are you? I just looked at the traffic related documents which have been posted to the Town's web-site. It appears that peer reviewer's (GPI) report of its findings, entitled "Peer Review Report", is not accessible. A blank document appears, where a pdf file should be viewable. If the problem is the file format, attached here is a fresh pdf file, which you might try: <<GPI-peerReview_11 NOV05.pdf>> Also, the Traffic Report posted is the Supplemental dated in November. If you'd like to include the baseline Traffic Report dated August, for reference, here is that pdf file: <<PSR-Combined Final.pdf>> If any questions or other needs, pis let me know. Thanks! Richard -----Original Message----- From: Askin, Richard 1/10/2006 /l RE: Addison-Wesley Traffic info for web-posting Sent: Friday, December 02, 2005 5:40 PM To: 'Chris Reilly (E-mail)' Subject: RE: Addison-Wesley Traffic info for web-posting Page 3 of 4 Chris, just wanted to make sure you got this e-mail, the attachments totaled over 6 megs. -----Original Message----- From: Askin, Richard Sent: Friday, December 02, 2005 4:30 PM To: Chris Reilly (E-mail) Cc: Peter I. Hechenbleikner (E-mail); Brad Latham (E-mail) Subject: Addison-Wesley Traffic info for web-posting Hi Chris: 1 finally got the report in pdf format. Here are several pdf files related to traffic recommendations for Addison Wesley. > Supplemental Traffic Report > GPI response letter > news article summarizina BOS Q&A W1 Deer reviewer If you require anything else please do not hesitate to.contact me. Thank you, Richard Richard K. Askin W/S Development Associates LLC Affiliated with: S. R. Weiner & Associates, Inc Tel-Direct: 617-646-3226 Cell: 617-571-7693 e-mail: richard.askin(Dsrweiner.com Main: 617-232-8900 FAX: 617-738-1628 1330 Boylston Street Chestnut Hill MA 02467 1/10/2006 0 z RE: Addison-Wesley Traffic info for web-posting Page 4 of 4 This message (and any associated files) is the property of S. R. Weiner and Associates Inc. and W/S Development Associates LLC and is intended only for the use of the individual or entity to which it is addressed and may contain information that is confidential, subject to copyright or constitutes a trade secret. If you are not the intended recipient you are hereby notified that any dissemination, copying or distribution of this message, or files associated with this message, is strictly prohibited. If you have received this message in error, please notify us immediately by calling our corporate office at 617-232-8900 and deleting this message from your computer. Internet communications cannot be guaranteed to be secure or error-free as information could be intercepted, corrupted, lost, destroyed, arrive late or incomplete, or contain viruses. Therefore, S. R. Weiner and Associates, Inc. and W/S Development Associates LLC do not accept responsibility for any errors or omissions that are present in this message, or any attachment, that have arisen as a result of e-mail transmission. If verification is required, please request a hard-copy version of this message. Any views or opinions presented in this message are solely those of the author and do not necessarily represent those of the company. 1/10/2006 John Connery and Associates Fiscal Impact Analysis: Report "Park Square at Reading"; Reading, Massachusetts (Redevelopment of the Addison-Wesley property, One Jacob Way, Reading) 1.0 Overview The objective of this analysis is to illustrate the fiscal impact of a 400,000 square foot specialty retail center (also referred to as a 'Lifestyle Center') with a complementary office component of 40,000 square feet, known as "Park Square at Reading", located in Reading Massachusetts. For this analysis the term the net fiscal impact refers to the annual net fiscal benefit (or loss) related to the proposed development after appropriate municipal service costs have been deducted from estimated revenues. For the purposes of this analysis we have employed current taxable values of commercial development and Fiscal Year 2006 operating budget data as approved by Town Meeting. In most instances large numbers have been rounded to promote an ease of reading. 2.0 Summary of Findings The summary of findings below describe key fiscal impact findings associated with "Park Square at Reading", a 400,000 sf upscale retail center, including an office component of 40,000 sf, located in Reading Massachusetts. PROPERTY TAXES: "Park Square" will generate $1.219.000 in annual property taxes and at least $1.137,000 as an annual net fiscal benefit to the Town of Reading As compared to current annual property taxes on the Addison Wesley property of $236,000, "Park Square's" annual property taxes of $1,219,000 per year is an increase of more than 500%. ASSESSED VALUATION: "Park Square" will add approximately $97.000.000 to total assessed valuation and will provide significant new growth tax revenues during the initial year of operation. Park Square at Reading: Fiscal Impact Analysis November 2005 page 1 John Connelly and Associates PERMIT FEES: "Park Square" will generate approximately $500,000 in initial construction permit fees and at least a similar amount as individual stores are fitted out for use. We anticipate total construction permit fees to be in excess of $1.000.000. 3.0 Municipal Service Cost Service costs associated with specialty retail and office use are directly related to municipal departmental budgets. Commercial land uses and new development traditionally impacts police, fire, and public works budgets. They may impact, in a very minor way, health and welfare, recreation and culture and general government service costs. For Park Square, water and sewer costs will be paid on a usage basis, trash removal will be privately provided, and construction permit fees will easily cover any costs assigned to building inspections during construction. Table '1' illustrates the FY 2006 budgets for the departments we have assigned as having some level of measurable cost impact. Table `1': Impacted Departmental Budgets Municipal FY 2006 Department Budget Public Safety $6,656,941 Public Works/ $4,100,791 Recreation Community $1,493,384 Services Library $ 942,817 Building $3,834,459 Maintenance Total I $17,028,392 As shown above, the impacted departmental budgets total $17 million dollars. However, it is important to note that said value relates to all land uses in the community. To estimate the percentage of cost assigned to non-residential uses (commercial/industrial and institutional uses we have used the proportional valuation method the Handbook of Fiscal Impact by Burchell and Listokin. This approach is designed to estimate the percentage of the affected municipal operating budget that can be assigned to non-residential uses. Not surprisingly residential uses in almost all communities generate the large majority of service costs and Reading is no exception. In this instance we Park Square at Reading: Fiscal Impact Analysis November 2005 page 2 ,s John Connery and Associates have determined that approximately 6% or $1,100,000 dollars in annual service cost can be assigned to all non-residential land uses. Using data provided by the Commonwealth as part of its build-out study, we determined that the Town of Reading has approximately 6 million square feet of commercial / industrial and institutional land use. Dividing the estimated cost of $1,100,000 dollars by the total commercial / industrial / institutional area provides an average service cost of 18 cents per square foot for non- residential uses. Our experience with numerous communities in Massachusetts indicates that the derived value is within the state wide range of 5 to 25 cents per square foot. Accordingly, with 400,000 square feet of retail and 40,000 square feet of office space and the estimated non- residential service cost of 18.5 cents per square foot, the an annual service cost for Park Square at Reading, using a town wide average, will be approximately $82,000. Given that Park Square at Reading will be responsible for almost all traditional municipal services including on site security, the assigned cost is almost will most likely be related to non-fee based public safety services, a characteristic not uncommon for essentially self contained and maintained shopping centers. 4.0 Revenue Generation and Net Fiscal Impact Park Square at Reading as an income generating property is subject to an income valuation methodology to generate a total taxable value. Using a triple net office rental rate of $20 dollars per foot for 40,000 square feet of office space, and triple net retail rental of $30 per foot for 400,000 square feet of retail space and assuming a 5% vacancy rate we estimate the total assessed value to be $97,000,000. At said value, the commercial component will generate $1,219,000 in gross taxes based on the current tax rate of $12.57. Subtracting the $82,000 service cost generates a net fiscal benefit of approximately $1,137,000 for the commercial component. Park Square at Reading has an annual cost-to-revenue profile that is consistent with retail centers throughout the region. The strong annual fiscal benefit of $1,137,000 is essentially the result of tax value of a regionally significant location and the generally self sufficient operational characteristics of the facility. In terms of comparison to an operational office park the Lifestyle Center will generate property taxes in excess of $1,200,000 as compared to $236,000 for the existing uses, and increase of more than 500%. 5.0 New Growth Tax Benefits Consistent with State regulations the taxes generated by new growth may be collected and used as a revenue source for one year before becoming part of Park Square at Reading: Fiscal Impact Analysis November 2005 page 3 John Connery and Associates total assessed valuation and subject to mandated levy limitations. This feature of municipal finance was designed to provide municipalities with budgetary flexibility and to encourage new growth. As the project is constructed the appropriate tax year value will be calculated as new growth revenues. At completion the proposal will have added approximately 80 million dollars to the total assessed valuation of the community. 6.0 Construction Permit Revenue and Utility Connection Fees In addition to property taxes and excise taxes the proposed residences will generate building permit, electrical, and plumbing fees. We estimate that the proposal will generate approximately $500,000 dollars in additional fees for the general fund during the project build-out period. Said fees will be one time fees but will constitute a short term immediate fiscal benefit to the community. Additionally, as individual store space is leased it will generate a secondary but major generation of construction permit fees associated with the fitting out of individual stores. We estimate the additional fees to be, at a minimum, equal to the initial construction fee revenue. Accordingly, we estimate total construction permit fees to be in excess of $1,000,000. 7.0 Concluding Comments Park Square at Reading will generate an increase in annual property taxes from-the project site by at least 500%. The increase in gross tax yield is a major advantage for the Town of Reading. However, it is important to note that even with assignment of service costs the proposal will generate $1,137,000 in net revenue that can be used by local government for various municipal needs in the community. In addition to the long term and sustainable annual fiscal benefit, the proposal constitutes a major short term benefit generating more than $1,000,000 in local receipts in permit fees during project construction and individual store fit. out. We find that Park Square at Reading offers the community both short term and long term major fiscal benefits as a result of the re-using existing underutilized commercial property. Park Square at Reading: Fiscal Impact Analysis November 2005 page 4 1 John Connery and Associates Fiscal Impact Analysis: Summary of Findings "Park Square at Reading"; Reading, Massachusetts (Redevelopment of the Addison-Wesley property, One Jacob Way, Reading) Overview The summary of findings below describe key fiscal impact findings associated with "Park Square at Reading", a 400,000 sf specialty retail center, including an office component of 40,000 sf, located in Reading Massachusetts. PROPERTY TAXES: "Park Square" will generate $1.219.000 in annual property taxes and at least $1.137.000 as an annual net fiscal benefit to the Town of Reading. As compared to current annual property taxes on the Addison Wesley property of $236,000, "Park Square's" annual property taxes of $1,219,000 per year is an increase of more than 500%. ASSESSED VALUATION: "Park Square" will add approximately $97.000.000 to total assessed valuation and will provide significant new growth tax revenues during the initial year of operation. PERMIT FEES: "Park Square" will generate approximately $500,000 in initial construction permit fees and at least a similar amount as individual stores are fitted out for use. We anticipate total construction permit fees to be in excess of $1.000.000. Fiscal Impact Analysis - Summary of Findings November 2005 Page 1 of 1 Hechenbleikner, Peter From: Askin, Richard [Richard.Askin@srweiner.com] Sent: Thursday, January 12, 2006 4:14 PM To: Hechenbleikner, Peter Subject: RE: Everson-12-17-05 (2).doc Hi Pete: Thank you for sending this over. His questions are good. In fact we have addressed and answered these questions in prior presentations and in the traffic reports. Nevertheless, we will make it a point to cover these aspects at next Tuesday's presentation. Best Regards, Richard -----Original Message----- From: Hechenbleikner, Peter [mailto:phechenbleikner@ci.reading.ma.us] Sent: Wednesday, January 11, 2006 2:53 PM To: Askin, Richard Subject: Everson-12-17-05 (2).doc This is a comment from one of our residnents - I wanted to make sure you had it before Tuesday night. Pete This message (and any associated files) is the property of S. R. Weiner and Associates Inc. and W/S Development Associates LLC and is intended only.for the use of the individual or entity to which it is addressed and may contain information that is confidential, subject to copyright or constitutes a trade secret. If you are not the intended recipient you are hereby notified that any dissemination, copying or distribution of this message, or files associated with this message, is strictly prohibited. If you have received this message in error, please notify us immediately by calling our corporate office at 617-232-8900 and deleting this message from your computer. Internet communications cannot be guaranteed to be secure or error-free as information could be intercepted, corrupted, lost, destroyed, arrive late or incomplete, or contain viruses. Therefore, S. R. Weiner and Associates, Inc. and W/S Development Associates LLC do not accept responsibility for any errors or omissions that are present in this message, or any attachment, that have arisen as a result of e-mail transmission. If verification is required, please request a hard-copy version of this message. Any views or opinions presented in this message are solely those of the author and do not necessarily represent those of the company. 01-1 1/12/2006 Hechenblefter, Peter From: Ben [ben@planetnw.com] Sent: Wednesday, January 11, 2006 2:36 PM To: Reading - Selectmen Subject: EVERSON REVIEW OF E&K TRAFFUC STUDY: REVISION # 1. R Everson-12-17- 05.doc (68 KB) Peter, Could you include the attached document from Jeff Everson regarding the Edwards & Kelcey traffic study in this week's packet for the BOS. Jeff's contact information is enclosed if anyone has a question or comment on his work. Thank you, Ben Tafoya 1 O December 17, 2005 Ben Tafoya, Member, Reading Board of Selectmen 40 Oak Street Reading, MA 01867 Subiect: Preliminary Review of "Park Square at Reading, a Traffic Study," August 2005, Redevelopment of The Addison-Wesley Office Park, One Jacob Way, Reading, MA; Prepared by Edwards & Kelcey (EK), Boston, MA Dear Mr. Tafoya: I reviewed the report referenced above. This review treats the following subjects: (A) trip generation of vehicles attracted by a facility proposed in the above report, (B) origin of these vehicles, (C) distribution of the vehicles along roadways to the proposed facility (D) vehicle parking at this facility, and (E) accidents. Other topics treated in the EK. report were not reviewed nor was the Supplemental Traffic Study considered in detail. The reason for focusing on items A-E is that these items are seriously flawed, and, thus, there was no reason to spend time on other issues. The basis for this statement is given below. A. Trip Generation 1. The number of vehicles that the proposed facility (i.e., Lifestyle Retail Center) might attract (i.e., trip generation) depends primarily on the nature of the facility and its area in square feet.' In many cases, trip generation values can be found in the Trip Generation Manual compiled by the Institute of Traffic Engineers (ITE) based on so-called Land Use Codes (LUC). There are dozens of LUCs for facilities such as hotels, hospitals, churches, movie theaters, shopping centers, warehouses, condos, etc. 2. When using this Trip Generation Manual, it is critically important to determine which of three ITE methods should be used to calculate the trip generation rate for a given facility type.2 These methods involve the use of either a (1) regression equation, (2) ITE weighted average, or (3) local trip generation data collected by the developer when proposed land use is not compatible with ITE land use codes. 3. The report by EK referenced above employed the LUC 820, which pertains to general commercial (i.e., shopping mall) usage according to the 7c'' edition of the ITE Trip Generation Manual. There was no justification given by EK that the unique Lifestyle Retail Center has the same trip generating characteristics as a shopping mall. It appears that EK used LUC 820 merely for convenience: "...Land Use Code 820 has been utilized for computational analysis because the volumes of data from the industry are more readily available." (2"d paragraph, page 9). The burden of proof is upon EK to either clearly demonstrate that LUC 820 is appropriate for this application, or that EK should collect sufficient trip generation data for Lifestyle Retail Centers, and analyze this data based on statistical significance tests. Since 2002, 101 Lifestyle Centers have been built in the US. ' It is quite likely that trip generation traffic counts were acquired as part of the planning process for these centers and could be obtained by contacting the developers. This is the data that should be used by Edwards & Kelcey, not trip generation data for traditional shopping malls (i.e., land use code 820). The Reading Board of Selectmen cannot draw valid conclusions about traffic impacts based on this report due to unfounded trip generation assumptions by EK B. Origin of Vehicles 1. The EK report'(page 14) assumes that 80 percent of vehicles heading to the Park Square Lifestyle Retail Center originate from either the south or from Route 128. Another 15 percent are derived from the north, while the remaining 5 percent come from the east. Due to a proposed EK redesigned roadway geometry in the vicinity of the Addison-Wesley complex, there is no vehicular traffic stemming from the west along South Street. These numbers (i.e., 80, 15 and 5 percent) are given without justification or references. 2. In reality, the number of vehicles originating from easterly, northern and northwest directions with respect to the Lifestyle Retail Center at the Addison- Wesley complex could be considerably greater than 5 and 15 percent cited in item #1 above. Conversely, the 80 percent figure could be less. Reasons for this observation are based on average household incomes. "The average household income of a lifestvle center shopper, for instance. is $75.000." 3 According to the Boston Globe, Community Profiles,4 the average household income in Reading is $95.019: for North Reading, $94.962. for Wakefield, $80.732: for Lynnfield, $116.914 and for Wilmington, $82.650. Clearly, these communities are not south of the Addison-Wesley complex and have average incomes above the average income of those shoppers drawn to Lifestyle Retail Centers. As a point of comparison, shopping traffic from Stoneham and Woburn may be less than shopping traffic from the towns cited above because the average household incomes from this town and city are $71,260 and $67,878, respectively. 3. The distribution of traffic assumed by EK heading toward the proposed center is totally without foundation. Further, motorists traveling along Route 128 have two other significant shopping choices, namely Burlington Mall and the North Shore Mall that offer upscale shopping opportunities similar to those found in a Lifestyle Retail Center and could otherwise detract from the traffic flow to the proposed Lifestyle Center in Reading. The Reading Board of Selectmen has no basis to assess the impact of traffic related to the proposed Lifestyle Retail Center due to the unfounded traffic distribution assumed by EK. co C. Distribution of Vehicles on Reading Roadways The distribution of vehicles addressed by the EK report on pages 13-15 is incorrect due to the unsubstantiated assumptions regarding the origin of vehicles discussed in Section B. EK should re-exam the vehicle distribution based on a well grounded market survey related to the likely origin of shoppers heading toward the Lifestyle Retail Center at the Addison-Wesley site. The market survey should be used as input to the computer simulation "SYNCHRO" and new results (e.g., Level of Service) generated for review by the Reading Board of Selectmen. D. Vehicle Parking at the Lifestyle Center Lifestyle Retail Centers feature an architecture where shoppers can park conveniently near stores of interest. This approach features a direct line of sight to a desired store without walking through a large parking lot that may be unsafe at night. The EK report does not address parking availability in general, the architectural difference in parking between Lifestyle Retail Centers and traditional malls and does not account for an adequate level of parking space that may or may not be available at the Addison-Wesley site given the proposed Lifestyle Retail Center is expected to occupy 400,000 square feet. The traffic study by Edwards & Kelcey did not consider parking accommodations needed for delivery trucks. Further, parking needed for employees of upscale stores was neglected. Lifestyle retail centers have 60-80 stores and each store may have 2-4 employees, for example. Thus, employee parking may require 210 (i.e., 70 x 3) additional spaces. Specific calculations should be provided by EK to convince the Reading Board of Selectmen that adequate parking would be available at the Addison-Wesley site. E. Accidents The EK report discusses accidents on pages 31 and 32 with an accident data table on page 32. The Mass Highway accident data from 1995-1997 is the subject of a legal. inquiry by the Office of Inspector General (OIG) in Washington, DC. The basis for the legal inquiry is alleged fraud that Mass Highway may have committed in the use of accident data known by them to be seriously flawed (i.e., accidents with no known locations). A decision from the OIG may be armounced in January 2006. Thus, accident data from Mass Highway should not be used until allegation of fraud is ascertained. The Reading Board of Selectmen is cautioned against assuming validity of any accident data used in the EK report until the matter is resolved by the OIG. 3 F. Editing Comments on the EK Report The reader of this assessment regarding the EK report is invited to examine Section 4, Traffic Volumes from pages 9-13, for example. This section features many numerical quantities without references. Thus, it is difficult, if not impossible, to verify these numbers. These mistakes represent poor technical writing. EK is urged to correct these writing errors so that the Reading board of Selectmen can verify statements made in (lie report. G. Action Items for EK Write a completely new report and address items A-F. It may not be possible to treat item E because the OIG accident fraud case is still pending as of this writing. Even when this case is settled it is not clear that the Mass Highway would have adequate accident data available for EK to use. EK should write a new report from scratch and submit it to the Reading Board of Selectmen for their review. H. About the Author of this Letter The author of this review is a program manager in the field on Intelligent Transportation Systems (ITS) and has directed several programs funded by the US Department of Transportation (DOT). He is an author of a dozen technical papers and reports. His resume is available upon request. Very truly yours, Jeffrey H. Everson, Ph.D., ITS Program Manager 21 Pine Ridge Circle, Reading, MA 01867 781-944-3632 (home); 781-684-4247 (work); 339-227-0585 (cell) 1 Jha, M. and Lovell, D., "Trip Generation characteristics of Free Standing Discount Stores: A Case Study, ITE Journal on the Web, May 1999 htto://www.ite.ore/membersonly/iteiournal/odf/JEA99A85.t)df 2 Development Assistance Brochure, Trip Generation Guidelines, Public Works, Kent, Washington. httn://www. ci.kent.wa. us/ocrinitcenter/oubl ieworks/tringenerati on eu idelines.Ddf 3 The new face of retail, Mimicked Main Streets, mall makeovers seek to lure shoppers, San Francisco Chronicle, May 3, 2005. httn://sfsate.com/cei-bin/article.cai?f--/c/a/2005/05/03/BUGN9CIU49I.DTL 4 httn://re.boston.com/Community/rank detail.asn?RankField=INCCYMEDD 24 TOWN OF HINGHAM OFFICE OF SELECTMEN Mathew E. MacIver, Chairman Charles J. Cristello Philip J. Edmundson Town Administrator Melissa A. Tully January 10, 2006 Board of Selectmen Town of Reading 16 Lowell Street Reading MA 01867-2601 co Dear Chairman Anthony: We understand that W/S Development is proposing to build a lifestyle center in Reading. They have asked us to share with you our experiences with the development of Derby Street Shoppes in Hingham. Prior to W/S Development's purchase and development of the Derby Street Shoppes, it was a non- productive commercial piece of property within the town of Hingham. The completed Derby Shoppes are now a productive source of tax revenue and provides desired services within the town. The benefits are both a solid revenue source with limited additional demand for town services and improved quality of life. In general the community is very pleased to now have the easy accessibility to high quality stores and restaurants. Our experiences during the planning and construction phase were generally positive. In general they were always cooperative and responsive to our concerns. One of our major concerns was traffic issues during construction and long term traffic impacts. During the construction phase when concerns arose, communication was easy and solutions quickly found. Since the opening of the lifestyle, center we have seen an increase in traffic volume within the area. The first couple of weeks were the most difficult, as there is always some confusion as people get used to access and egress routes. We did find some stop light issues and exit issues that we were able to iron out fairly quickly. Although there is increased road volumes surrounding the shopping area we have not found it overwhelming or intolerable. Additionally, the center is located right next to Route 3 artery, which helps limit the traffic impact on the immediate areas. In summary, we have found working with W/S Development a positive experience. They were and continue to be responsive and cooperative. We have found Derby Street Shoppes to have an overall positive impact on our community. It has provided a new solid re-occurring revenue source, which provides additional fiscal stability to our town budget planning process. It has raised the quality of services available in our community. It has had an impact on traffic volumes, and police and fire calls: However, we have found the benefits outweigh these minor issues. Sincerely, . 'Mathew E. MacIver - `Chairman.. 210 Central Street, Hingham, MA 02043-2757 • Telephone (781) 741-1400 • Fax (781) 741-1454 ~ ~y Page 1 of 1 Schena, Paula From: LYNNCARUSO@aol.com Sent: Thursday, January 12, 2006 6:24 PM To: Reading - Selectmen Subject: Addison Wesley Dear Selectmen, I am responding to a PEP email I received. I am very much in favor of the development of a "lifestyle" mall. Although the traffic issues may need to be addressed, they certainly should not prohibit the development. The mall is positioned such that the traffic is not going through the center of town. Shoppers can quickly come in and out of the mall without affecting the makeup of Reading, which we all love to keep. The tax dollars brought in are very much needed. The jobs will be very important also. With the nonexistent growth of the center of Reading, this is a positive addition to the commercial development in the town. I have lived in Reading for 10 years and feel that the benefits far outweigh the drawbacks to this development. I hope it goes through. Sincerely, Lynne Caruso 30 Zachary Lane 1/13/2006 U Page 1 of 1 Schena, Paula From: Paula G [pmgentile@gmail.com] Sent: Friday, January 13, 2006 1:04 PM To: drew@pride-com.com; Town Manager; Planning; Reading - Selectmen Cc: ben@planetnw.com; Kara McWeeney Subject: Here we go, Reading. Down the road of no return? Where, oh where is my quiet town of Reading going to? There is a lot of hype floating about the Addison Wesley Project. All I can say is it will change the face of this town. And it seems to me that big business is lining up to get in. Recent comments talked about the need to improve the overall "appeal" of Reading and the surrounding area. Oh, I'm sorry, did the nice quiet homes nearby bother you? I also noted recent comments that the South Street intersection needs a change. What are you talking about? The intersection is fine and functions well. I should know. I live there. If people would stop running the red lights then perhaps there would be fewer accidents. I think the Reading center interchange is where the change is needed. Remove that godforsaken ugly post in the middle of the road and revamp that! "The traffic to and from the project will be mostly on Saturday mornings and holidays." Um, hello???? That's when I want peace and quiet the most! So glad you are all thinking of me, the little guy. Another comment I noticed is that the shopping plaza will save time due to less travel for shopping and gas. What, the three gas stations in a row within the vicinity are not enough? They look lovely, don't they? I certainly didn't vote for those. And three supermarkets with a two mile radius are too far to drive? Please. Four drugstores? Oh yes, definitely. We needed those!! Again, I urge you to look at the empty Stoneham Redstone plaza stores. Lovely, aren't they? C'mon people, get over the propaganda. People say they chose Reading due to the location and feel of the town. So did L Reading is nicer as a community town, not an overdeveloped shopping town. Of course I want the Addison Wesley property developed, and developed properly into something nice for Reading. Tax revenue, etc. But do it in such a way that the whole community benefits. PLEASE pass this email onto anyone who thinks they might be interested. 1/13/2006 a~ 6 S . R. WEINER W/S DEVELOPMENT" C b -0) AND ASSOCIATES INCORPORATED v ASSOCIATES LLC n RE: Park Square at Reading An Invitation to Communicate Dear Neighbor, It has been about a year since we last met at an informational meeting at the Addison Wesley / Pearson Education property to review the plans for the Park Square at Reading "Lifestyle Center" and listen to your comments and concerns. At the request of the neighbors, WS Development agreed not to pursue a request for a zone change to allow retail use for the property at the Spring 2005 Reading Town Meeting. We concurred that it would be time well spent to study the traffic associated with the project in order to minimize impacts to the neighborhood and to assure we could provide safe access to the location. It was our intent to reconvene with our neighbors to go over the traffic information and to address any concerns. We have, at the request of the Reading Selectmen, dedicated much time and effort to studying traffic associated with Park Square, and have provided a detailed Traffic Report and a Supplemental Traffic Report which detail the traffic issues. Both reports are posted on the Town of Reading's website http://www.ci.reading.ma.us/planning/. Additionally, at our expense, the Selectmen engaged the services of Greenman - Pederson, Inc., the Town's traffic engineering consultant, to review and evaluate the studies and to advise them on the credibility of traffic studies. The town's traffic consultant submitted its findings in a report dated November 11, 2005 (also posted to the town's website) and subsequently attended two selectmen's meetings to present the results of the studies and to respond to their questions. These meetings did not provide the time (or space!) for input or questions from those in attendance including residents from the neighborhood and representatives from WS Development. Our goal has been to cooperatively work through issues in order to provide a first class `Lifestyle' shopping experience that the neighborhood and entire Town of Reading could benefit from. It has been very disheartening to see the frustration that has evolved in the neighborhood and misinformation that has arisen due to a lack of communication between us. When we last met we had every intention to continue meeting with you and to be responsive to issues that are important to you. Realizing that the `vacant office park' would ultimately change in the future, we want to be a positive component of the community and to beta good neighbor. vi5 3iuuy i9th; iiolYl 7 io 9Piv, five will resume tieighbprhood meetings'at Addison- Wesley to better communicate with you. I would like to discuss issues such as traffic, screening, lighting, and hear your concerns to address them in a positive manner. Please consider this an invitation to open the lines of communication and plan on attending. I hope to see you on the 19th. If you are unable to attend and would like to contact me regarding questions or comments, please feel free to contact me at 617-232-8900 Ext.241 or E-mail me at Bob.Frazier@SRWeiner.com. Sincerely yours, Robert G. Frazier 00 Vice President (02RJ 1330 B O Y L S T O N STREET CHESTNUT HILL - MASSACHUSETTS 02 4 6 P H O N E 61 7 - 2 3 2 - 8 9 0 0 w w w. s r w e i n e r. c o m Page 1 of 2 Hechenbleikner, Peter From: Carl McFadden [cmcfadden@ftmc.net] Sent: Thursday, January 12, 2006 11:16 AM To: Anthony, Camille; Hechenbleikner, Peter Subject: Fw: THE PROPOSED ADDISON-WESLEY REDEVELOPMENT PROJECT fyi Original Message From: Readina PEP To: read inaoer)O.comcast.net Sent: Thursday, January 12, 2006 11:14 AM Subject: THE PROPOSED ADDISON-WESLEY REDEVELOPMENT PROJECT PEP UPDATE THE PROPOSED ADDISON-WESLEY REDEVELOPMENT PROJECT Two Opportunities to ask questions/voice opinions RCTV CALL-IN SHOW WITH DEVELOPERS THURSDAY NIGHT (TONIGHT) AT 7PM The developers of "Park Square at Reading" on the old Addison-Wesley site will be on RCTV, Thursday 1/12 at 7pm. They will be taking calls about the project, so if you have questions for the developers, this is a good opportunity to ask. The call in number is: 781-944-8888 OPEN MEETING WITH SELECTMEN TUESDAY JAN. 17th AT 7PM PARKER MIDDLE SCHOOL MULTIPURPOSE ROOM The Selectmen and CPDC are hosting an open meeting for Reading Community to discuss proposed redevelopment project. Citizens will be given an opportunity to ask questions and offer opinions. As the developer has not formally submitted an application for re-zoning, this will only be an informational public hearing. This is an excellent opportunity to raise questions, separate fact from fiction and voice your opinion about the project. Process: • W/S Development Assoc. (the developers) have completed a traffic study • The next step is for the developers to apply for re-zoning to allow for retail; they haven't done that yet • The application will go the the Selectmen who then have 14 days to forward it to CPDC • CPDC will make a recommendation on the application to town meeting, who will ultimately approve/deny the re-zoning request • If the re-zoning is approved, the developers will have to go through the state MEPA process before any construction can begin Some facts: • The project will generate $1.1 million annually in local property taxes, which will benefit both the schools 1/12/2006 Page 2 of 2 and the town • Potential retailers include: Whole Foods, P. F. Chang's, Legal Seafoods, Ann Taylor, Barnes & Noble, J. Crew, Chico's, Coldwater Creek and others • The shopping center will be fashioned after the Derby Street Shoppes in Hingham • The developers are exploring opportunities to support community and arts organizations in Reading • The property was re-zoned a few years ago to allow for hotel development but Reading has received no proposals for such a development Proponents say: • Reading would greatly benefit by an increase in town revenue; right now we have such a small commercial tax base that the burden for town services rests mostly on residential tax payers • The Addison-Wesley space needs to be redeveloped; other more beneficial options (like hotel and office space) are highly unlikely due to poor demand and over development along 95/128 beltway • If we don't work with this developer on a more high end, attractive retail project, we may be stuck with a Wahnart when our financial situation is more desperate • The development would bring sorely needed jobs to Reading for teenagers and others • High end shops and restaurants could help make Reading a "destination" town, creating incentive and opportunities for existing and new local businesses to grow and flourish • Reading has an opportunity to negotiate for resources to support a thriving community arts culture which adds appeal and value to the town. Opponents say: • Local residents will be burdened with increased traffic flow from out-of-town shoppers • Shops and restaurants will compete with local businesses • Main street will be adversely effected by the traffic flow and proposed additional lanes by the highway entrance • A "Mall" is a stigma to the town identity and culture • There is no guarantee that these shops will be successful; if they fail, we might have to live with a Wahnart or similar chain This is a major proposal for the town that will impact residents, positively and negatively, in many different ways. We encourage you to tune in to RCTV, attend the meeting, or at the very least, email the selectmen and inform them of your views! Camille Anthony canthonvamci.readina.ma.us James Bonazoli ibonazoli a.ci.readina. na.us Joe Duffy iduffv(@.ci.readin2.ma.us Ben Tafoya btafova(ifti.readina.ma.us Rick Schubert rschubert(a_7.ci.readina.ma.us OR selectmen(@,ci.readina.ma.us WCI 1/12/2006