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Candidate Q&A: State Trust Land

Posted 7/5/18

The Times continues this week with its series of questions for the two candidates for mayor and six candidates for Town Council leading up to the Aug. 28 primary election in Fountain Hills.

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Candidate Q&A: State Trust Land

Posted

The Times continues this week with its series of questions for the two candidates for mayor and six candidates for Town Council leading up to the Aug. 28 primary election in Fountain Hills.

The third question being posed is the following: What is your vision for development of the State Trust Land? Consider density, housing product, commercial component?

Ginny Dickey: We annexed these parcels into the town in 2006 not only to add to our community but to develop the property following our carefully-considered zoning ordinances.

The development agreement we on council negotiated with the owners, who purchased the land in 2007 for $110 million, was a mix of densities, parks, road reconfigurations, commercial and a resort designation.

This property is adjacent to the Preserve, still suitable for a resort or other tourism use. And I remain supportive of a commercial aspect, the approximately 1,300 homes and other features as noted.

These homes were to blend seamlessly with existing neighborhoods, and that would still be the intent.

I would like to see moderately-priced residences in the plan. We should recognize the reality that the price of the land, constitutionally required to generate optimal returns, plus the cost of infrastructure such as roads and utilities will determine the type of housing product a future developer could afford.

The Sanitary District is committed to providing service using its available capacity for 1350 homes and has in no way delayed progress. It’s important to note that this process – auction, purchase, development agreement and construction – is lengthy even under ideal conditions, likely a decade in the making.

Expectations of revenue benefits need to be realistic. Additional parks and roads will require maintenance; homes and other structures will increase public safety needs.

Adding students, support for our businesses and more residents to enhance the make-up of our town are desirable outcomes on their own.

Cecil Yates: The vision, from roundtable discussions and market demand backed up by the strategic and economic plan is develop the property to attract young families through mid-lifers (over 40 but not yet seniors).

This will complement our town by providing housing for folks in earlier life stages. Young families and mid-lifers need good schools (which we have), parks, and amenities to support functionality. The options provided will be cluster homes, townhomes, single-family homes on smaller lots, condominiums and apartments.

The density will vary between single family homes on the perimeter, then slowly raise towards the center road; Fountain Hills Blvd., where apartments, condos, light retail, and commercial properties will be built.

This inventory will satisfy neighborhood need, not compete with downtown. The population will put us in a better position to attract businesses and capture the sales tax lost to other communities.

The children from the families will fill our schools capacity adding well needed funds to their budget. This development is referred to as an “urban village.” The design of the streets and housing should encourage walkability, and pay tribute to the small town feel we are known for.

The streets will be narrow to slow traffic and make crossing easier. The homes should be constructed with porches and balconies to promote dialogue between neighbors.

This will promote the sense of community spirit and a lively street life. Housing types and styles will reflect the distinct southwest flare but allow unique designs to promote Fountain Hills’ “sense of place.”

Mike Scharnow: “My vision” might differ greatly from reality, only because some of the answers depend on the Arizona State Land Department, future developer(s), economic conditions and the housing market.

I know current town officials want the land auctioned by the state in one large parcel – and I hope that happens – but the state is charged with maximizing its revenues on this land for K-12 education.

Land prices, development costs and zoning practices have changed drastically since the Ellman Cos. bought and later lost this prized parcel.

Ideally I would like to see a mix of housing, depending on the topography, with a large emphasis on clustered developments for reasonably-priced, family-oriented housing.

How about a small neighborhood for trendy and well-kept tiny houses? I’d like to see some zoning for an apartment complex or two as well.

Younger families, their tastes and their finances, are changing. We need to take that into consideration and attract more of them here. I don’t want to become Sun City East.

We can still do that without adversely affecting the property values of those already living here.

The development model that worked for most of Fountain Hills proper no longer is sustainable.

I don’t think we need more commercial zoning or another golf course. Maybe a spot for a high-end resort?

I would like to see land carved out for a public park or two and a fire station site (if needed).

These ideas will benefit our school system and our existing business base.

David Spelich: Fountain Hills must adapt to changing demographics and changing needs of society to remain relevant as a community. U.S. Census Bureau statistics from 2016-2017 indicate that Maricopa County gains an average of 222 people/day. Yet Fountain Hills growth has not kept pace. Why?

The average median price for a Fountain Hills home is approximately $500,000. This price point excludes younger families from purchasing in Fountain Hills. Young Americans today do not buy into the ‘mini-mansion’ concept of homeownership. Young families want a moderately sized house (and house payment) that will allow them the means to invest in quality of life activities. The State Trust Land is perfectly positioned to incorporate new concepts of community living. Smaller lot sizes coupled with ranch-style homes of 1400-2500 square feet, priced below $350,000 is a great start.

Small does not equate to cheap – these houses should be upscale and have great street appeal with stone fronts, shutters and porches, etc. The development should contain open spaces with trails for hiking, biking and dog walking. Design elements should include community playgrounds and a clubhouse.

HOA fees would support these amenities, so the cost is not passed on to taxpayers. Incorporation of townhomes/duplexes would allow older adults to be close to their children and grandkids. Small commercial areas with coffee/breakfast bistros and a wine bar would foster community interaction and support family foundations.

Planning for the future requires thinking creatively – outside the box and giving younger adults these options, which other communities are already offering.

Marcus Bulow von Dennewitz: Two main goals of our town’s strategic plan are (1) Attracting families and working professionals, and (2) ensuring that our infrastructure is well maintained. My vision would support development consistent with these goals.

The available acreage is an opportunity to work with state land officials and a developer to accomplish our strategic objectives.

Per the 2017 National Association of Realtors (NAR) Homer Buyer and Seller Generational Trends Report, “people 36 years and younger were the largest generation of home buyers claiming 34 percent of the market.”

Research indicates that young millennial families prefer mixed use developments which are walkable, sustainable and affordable. Consistent with our strategic plan, I believe the council should focus on partnering with a master developer who understands millennial housing preferences and who is experienced in attracting the cohort.

Development fees from the project should be put towards infrastructure improvements and adding to an infrastructure reserve. Perhaps the town could negotiate a deal whereby the developer helps fund improvements to our main roadways as part of the overall development? Such a deal would help the town dedicate funds to other areas of concern such as the Fountain’s liner and pumps.

Gerry Friedel: The State Trust Land has been a highly anticipated development for the town of Fountain Hills. The original Planning and Zoning endorsement included 1,275 acres with almost all zoned for single family residential with low to medium density housing. The original endorsement also included a parcel for retail/office commercial use with another for lodging use.

I see no real reason to deviate from the original proposal if it still meets the needs and current zoning of the town. What we need to be careful with is finding a developer(s) for this land that will develop this envelope to fit with the towns zoning and vision. We need to find a developer who wants to help us as a town as much as we want to develop the land. We want a like-minded developer who will not look for exceptions to our zoning standards. This developer will also be sensitive to the demographics of the home buyers of today, whether they are Millennial, Gen X or Boomers.

At the same time we as a town want to be attractive to the development process. We want to be known as a town “you can work with” not one that says one thing and then turns around and does something different.

If we can match our needs with that of the development then we can move forward and really help “Shape the Future of Fountain Hills.”

Sharron Grzybowski: The Fountain Hills Strategic Plan has five key goals. The State Trust Land is an opportunity to achieve most of them. I propose we break this into multiple subdivisions, each a different density –such as single family, active living, or multi-family.

The developer should be responsible for the investment to upgrade the sanitary district to accommodate the new homes, as well as pay any impact fees. To help entice prospective buyers, we should secure brand-builder(s), for example, Toll Brothers. Brand-builders instill confidence in buyers. Brand-builders also have upscale marketing that will bring prospective buyers into town to look at the model homes.

To prevent the cookie-cutter look that does not align with our town’s makeup, builder(s) should offer an assortment of floor plans and even more exterior elevation options. As to the commercial area, perhaps we can look into doing mixed use--a two-story building with commercial downstairs and residences upstairs.

We all have differing opinions on developing the State Trust Land. One thing we all share is a concern about the sustainability of our existing businesses and filling the empty commercial spaces. Developing the State Trust Land will help with that concern. More people doing business in town is good for sales tax revenue as well as for existing and new businesses.

With that being said, we cannot look at this as the cure for our revenue shortfall. This project will take years to come to fruition, even if we were to begin today.

Alan Magazine: The State Land Trust is 1275 acres at the north end of Fountain Hills.

It potentially presents a great opportunity for the town if it is developed properly.

In my view it should have a mix of housing types e.g. single-family, townhouse, patio homes, apartments and condos.

To support this large population increase the developers should be responsible for providing the new residents with a number of amenities such as walking trails, tennis courts and parks. The developers should be responsible for constructing Fire Station #3 and there must be sidewalks throughout the property. In addition, ingress and egress from Fountain Hills Boulevard must be carefully designed so as to avoid traffic problems.

Since it is likely that there will, eventually, be 1300-1600 homes, there needs to be a small commercial center that provides basic needs such as food, gas etc.

However, the most important issue is constructing a reasonable number of moderately-priced homes so as to attract young families. These homes should be scattered throughout the property and have exterior design such that they cannot be identified as moderately priced so as to avoid any stigma.