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DDP Economic Vitality Comittee Packet REVISED

DDP Economic Development and Restructuring Committee. Mar 20, 2024.

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yh k DOWNTOWN Economic Vitality Committee Meeting PDOVER March 20, 2024 PARTNERSHIP 7:30 a.m. Cendel Building, 101 W. Loockerman St., Dover AGENDA Revised 3-18-24 (Location on site at Cendel Building, 101 W. Loockerman St., Dover) Welcome Agenda Minutes Public comments Updates on Master Plan e Governor Carney commitment of funding e 1205S. Governor’s & Multi-modal site Updates from working groups 1. Critical Improvements e Payouts from FY 23 funds e Second round now open 2. Site Readiness e ITB (680-684) Forest Ave. 3. Unlock the Block (REAP, Revolving Loan Fund) 4. Marketing Downtown Dover Other business Adjournment Next scheduled meeting — April 17, 2024 Agenda items as listed may not be considered in sequence. Pursuant to 29 DEL. C. 10004(e)(2), this agenda is subject to change to include the addition or deletion of items, including executive sessions, which arise at the time of the meeting.

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\ DOWNTOWN Economic Vitality Committee Meeting SSOVER December 13, 2023 y 7:30 a.m. at Loft Realty “Ni! PARTNERSHIP Attendance: Theresa Owens, Janaid Kareem, Penny Marshall, Cheston Boyd, Zachary Foust, Charlie Rodriguez, Megan Glick, Mike Glick, Mike Harrington, Heather Jones, Donny Legans, Chevonne Boyd, John Van Gorp Staff: Diane Laird, Tina Bradbury, Jordan Resh Mike Harrington motioned to approve the agenda. Charlie Rodriguez seconded. Unanimous approval. Mike Harrington motioned to approve the minutes. Mike Glick seconded. Unanimous approval. No public comments. Master Plan Laird introduced the DDP master plan presentation to the committee. She shared that the master plan was finalized in January 2023 after 2 years in development. She noted that the complete master plan is available online. She added that during the RFP process, Mosaic Development Partners was the only development team that submitted a proposal, with extensive development experience in the region and in challenged communities. Laird noted that Mosaic focused on equitable development that reduces the barriers of entry for underserved populations. During the development of the master plan, hundreds of stakeholders were engaged through 1 on 1 and group interviews and an online survey. Laird shared that the master plan presented key anchors (Bayhealth, State Government, DSU, DAFB) that could drive business in downtown and work to attract 2,000 new residents. She shared that residential, business, and workforce opportunities projects are underway with direction from the key anchors’ leadership. She added that the Biggs Museum, DSU, and the DDP have each developed master plans within the last year. Laird shared that the plan proposes more walkability and outdoor amenities to create a safer environment with “more eyes on the street” and more leisure options. Laird presented the projected outcomes of the plan, with 900+ residential units, a grocery store, transportation amenities, art walk, and more. Laird presented a dozen potential project sites that would revitalize downtown, including DDP owned, city owned, and other properties of interest. Laird shared the conceptual for 120 S. Governors Ave, presenting a 6-story mixed use building with a small-scale grocery store, commercial activity, residential units, and rooftop amenities. She noted that a binding MOU for the site has been implemented with Mosaic Development Partners and Colonial Parking. She added that within the next 6 months, it is expected to have a full development agreement to start the project. Laird presented a concept for the multi-modal transit center at 129 S. Governors Ave. She also presented public spaces, such as the proposed riverwalk, ArtWalk, and amphitheater. She noted that the area is currently a brownfield, but after remediation could be developed. Laird invited Mike Glick to present, noting that development downtown is being put into action alongside the efforts of the master plan. Old Post Office Economic Vitality Committee 12/13/23 Downtown Dover Partnership Page 1

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k_ DOWNTOWN Economic Vitality Committee Meeting SSOVER December 13, 2023 y 7:30 a.m. at Loft Realty =! PARTNERSHIP Mike Glick of Lighthouse Construction LLC shared that they are in the process of purchasing the former City of Dover post office. He presented a proposal in which the exterior facade is preserved, with retail units added in either side (street level dining/retail), and a 3-story apartment complex in the rear of the building (over existing parking lot and warehouse). He added that a portion of the center of the warehouse would be demolished, providing a secure courtyard for the residents of the complex. He added that ~30 apartments are intended to be built. Glick added that parking for the apartments would be included as well. Glick noted that his team incorporated recommendations from the master plan, such as preserving the historic character and adding modern development for retail and residential units. He added that the goal is to break ground in November 2024 and a year of construction to project completion. Laird noted that 14 responses to the old post office were presented, and congratulated Glick for being selected. She noted that the volume of responses may not have been the case prior to the launch of the master plan. Bradbury noted that one of the sites along Mirror Lake was referred to as Fraiser’s, it’s former tenant, during the presentation, but the site is currently 9 East Taphouse. Master Plan Progress Laird shared that Ken Anderson was hired as the redevelopment director to assist in implementing projects from the master plan. Laird shared that creative placemaking projects have taking place, such as murals and painted crosswalks. She noted that the crosswalks project was a pilot that intends to extend to other locations with a large grant application. Laird shared that alongside Dover Kent MPO, DDP is partnering in a “Downtown Dover Pathways” study to improve walkability and transportation throughout downtown. She shared that stakeholder engagement has taken place and more will be scheduled, but those interested may go online and leave a comment on the MPO’s interactive map. https://doverkentmpo.delaware.gov/downtown-dover- pathways/ Laird shared that alongside the City of Dover, an application for rezoning to C2 was submitted, with the goal of altering the parking requirement, setback adjustments, and height limits being changed. A first reading of the amendments is scheduled for December. She added that a DDD Boundary expansion was submitted, which would allow 9 E. Taphouse, the old post office, and other sites on E. Loockerman to apply for DDD incentives. Bradbury added that additional DDD boundary expansions are planning to be submitted. Critical Improvements Program Laird shared that the Critical Improvements Program (CIP) was launched last year, with $1.185 million available to fund commercial kitchens, ADA compliance, and sprinklers/life safety measures. She added that 10 projects were chosen for funding allocations, which would provide +/- 6 commercial kitchens, +/- 8 ADA rest rooms, and sprinklers. She noted that funding is not distributed until the project is completed Economic Vitality Committee 12/13/23 Downtown Dover Partnership Page 2

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, DOWNTOWN Economic Vitality Committee Meeting ye SSOVER December 13, 2023 7:30 a.m. at Loft Reait PARTNERSHIP Y and a tenant is in place, to ensure that the projects benefit the community. She shared that an additional $675,000 was awarded for the program in FY’24, Laird presented Doug Ferris’ project at Coney Island Hot Dog, which installed a commercial kitchen and two residential units, and was awarded CIP funds. She noted that this property was vacant for 16 years and is newly occupied because of Ferris’ investment. Rail Haus Legans presented Rail Haus, noting that he received CIP funds to complete his project. He noted that the property he developed had been vacant for 25 years and has now been open for a month with $200,000+ in business during the “slow season” that has passed so far. Legans noted that his initial project cost estimates varied due to inflation and that CiP funds (the promise of the award) allowed him to move forward with development and apply for additional grants. He noted that he wanted to develop a business that challenged the perception of West Loockerman and that he worked with NeighborGood Partners, among others, to explore the impact of parcel-by-parcel influence in reducing crime and increasing livability. Legans shared that he was attracted to Dover due to his involvement in DAFB, diverse demographics, and growing young population. He wanted to provide new opportunities to the residents of Dover. Legans noted that he was attracted to the property because it was a part of the Senator Bikeway and located within the downtown boundaries, which offered additional grant opportunities. He shared that several partners helped support and fund the project, such as the EDGE Grant, DDP, Kent MPO, DNREC, Urban Forestry (who provided 23 trees for the property), and more. He noted that partnerships allowed the project to take place. Legans noted that in studying the market, he did not want to compete with the amenities that exist by the beaches or up north but wanted to define its own character. He noted that collaborations took place with CrossFit, a yoga studio, and others, to show other business owners what is possible in downtown, build relationships, and develop its unique identity. Legans shared that towards the end of development, his occupancy had changed due to code changes, and he had to sprinkler his property. He added that CIP awarded him $300,000 which allowed him to purchase and install sprinklers, add ADA compliance, and other life safety projects. He suggested that other business owners apply for as many grants as they can so that they can prepare for all outcomes. Laird added that Legans was awarded an additional $10,000 from Kent County as a DDD recipient. Incentives Available Bradbury shared that CIP recipients are encouraged to apply for additional grants, such as DDD Rebate Program which can cover 20% of the project costs and is administered by DSHA. She suggested that all project goals are considered, such as commercial development, residential, roofing, etc. to potentially apply for a large grant from DDD and to maximize the grant award. She suggested that developers work with her first to prepare to navigate the multiple incentives available. She added that after DDD, Kent County awards an additional $10,000. Bradbury shared that the city offers tax abatement for 10 years, permit fee waivers for three years, and reduced transfer tax. She added that DDP offers coverage for Economic Vitality Committee 12/13/23 Downtown Dover Partnership Page 3

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gf k. DOWNTOWN Economic Vitality Committee Meeting JOVER December 13, 2023 )» 7:30 a.m. at Loft Realty == PARTNERSHIP architectural fees once the project is completed and an application for facade improvements. She noted that the incentives are layered, so multiple sources of funding are available for the same project. Laird noted that only 25% of owner investment is required to apply for funding, with additional resources to cover the remainder of the project. Bradbury added that historic tax credits are available as well as low- income tax credits for housing. She added that the DE Division of Small Business offers the EDGE grant, which property owners can apply for too. She reiterated that it is recommended to apply for multiple grants in the full amount to best leverage resources for development. CIP Continued Laird shared that in the first round, projects that received the most funding met all or most of the needs of the grant — ADA, life safety, commercial kitchens, and residential. Projects also meets general improvement needs, but emphasized the focus on projects that meet critical improvement needs as well. She added that high impact projects and those that respond to long-term vacancies will be viewed favorably. She noted that a top priority business is favored, as presented from market research, although all business types are encouraged to apply. Laird presented the requirements for the program — 1) must be an owner of the property. She noted that this may be changed in time but is a current requirement. Bradbury added that DSHA requires documents to be submitted by the property owner. 2) Business is in “good standing” without leans or extreme debt. 3) Detailed price quotes, which can be general but need to be realistic and from a qualified source. She added that quotes from self-contractors will be approved if DDD approves the quotes as well. 4) Intent to lease, with realtors available to assist. 5) Fagade/Architectural grant applications, to provide tiered incentive. 6) DDD, including City and County, if eligible, to also provide tiered incentive. 7) Completed in accordance with approval, permit, and per city regulations. 8) Space must be leased and occupied by the tenant. Laird shared that the pre-application will be live within 24 hours of the meeting, requesting information about ownership, project ideas, and what the needs are. She noted that funding from last year may be released, if projects are not underway, and an additional $675,000 is available for this round already. She noted that $300,000 was the maximum project amount in the previous round. She added that FY23 allocation procedures are a point of reference, but the panel will explore new parameters. She suggested those applying to provide comments if they believe the parameters should be changed. Bradbury noted that the process was new in FY 23. Laird added that the panel worked diligently to establish a panel process, noting that six qualified committee members worked on the panel for FY 23. MH motioned to adjourn. JVG seconded. Unanimous adjournment. Questions e Owens asked who writes the grants? Laird responded that the state provided funding through the Redevelopment Investment Fund, awarding the DDP the funding, and then allowing DDP to determine how to allocate the funds. The DDP applied for the State grant, and property owners will apply for the DDP’s grant. Economic Vitality Committee 12/13/23 Downtown Dover Partnership Page 4

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—AN DOWNTOWN Economic Vitality Committee Meeting DO OVER December 13, 2023 7:30 a.m. at Loft Realty PARTNERSHIP secon shared that the Wilmington Riverfront was developed in a private-public partnership, allowing large projects to take place. Laird noted that in 10 years since DDD allocation, Dover has never been awarded a large commercial project funding. Bradbury noted that it is important to complete and follow up with all requirements to receive funding. © Owens asked if assistance is available to complete applications? Laird responded that Bradbury is available to assist with completing grant applications. Legans suggested contacting Tunisha Scott from DSHA for assistance as well. e@ Marshall asked for assistance in funding mural projects. Laird responded that CIP funding would not cover a mural project, but that DDP facade and DDOA grants may provide assistance. She noted that public art is encouraged. Legans added that DDOA can provide $1,500 for the artist and materials. e Kareem asked about plans to remove windowpanes from the former Artisan Market, to improve visibility from the outside of the building. Laird noted that the pharmacy may have required frosted windowpanes and the previous tenant next door made changes to the windows, but that the comment is important and can be considered. She added that we are in a challenged community, and strategies to approve appearance are favorable and increase safety/perception. Laird repeated that the pre-application will be available in 24 hours, with a PDF available to preview the application, prepare documents, and submit the pre-application (~20 minutes to complete.) She added if the full amount is not awarded, it may be due to funding available and/or whether the identified ‘critical’ improvements are addressed. She noted that projects were funded that did not hit the ‘critical’ categories, but still offered significant value to downtown. Economic Vitality Committee 12/13/23 Downtown Dover Partnership Page 5

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Come be a part of the transformation! tinyurl.com/CapitalCity2030 The Downtown Dover master plan, finalized in January 2023, was produced by Mosaic Development Partners. The project engaged 800 community members and strategizes ways to attract 2,000 new residents, a multi-modal transportation hub in the center of downtown Dover, and public arts and recreational amenities. “LE DEVELOPMENT PARTNERS OUTCOMES Mosaic is a Philadelphia-based Minority Business astihGnee Enterprise development firm who focuses on building anaes UN with community and cultural sensitivity in mind. Land Across 927 "aes Residential Units Across 6 Sites Mosaic has established in 2008 with the intention to help revitalize neighborhoods and marginalized communities. Mosaic finds — innovative solutions-subtle or radical-that help bring a project to Fay @ 27,500 SF fruition. Mosaic seeks sustainable developments, job creation, és arteany atore | a | | diversity, and community acceptance. The company hires professionals and others who have been historically excluded from —— the real estate industry, while seeking to bring solid returns to its 2,575 investors and lenders. Likear rca’ “ICS 792 Parking of River Walk 21-6 ACRES of Green Space o—oO Spaces 4 ~~ 97,700 SF v\ of Commercial Space —— MULTI-MODAL coummany Nie?) 3,674 LINEAR FT TRANSIT HUB ut of Loockerm: 500 MILLION Sipienichran et oselrmsa: Investment GREGORY REAVES CEO & Co-Founder yy” LOVER © 302-678-2940 EX PARTNERSHIP © DowntownDoverPartnership.com COO & Co-Founder

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Ca p ital Ci ty 2030 Gz usforming Paowntoun Pover! Implementation Progress to Date Critical Improvements Program (CIP) $1.2M allocated for critical improvements to existing downtown buildings, including life safety, ADA, and commercial kitchens. An additional $675,000 will be allocated for more improvements by March 2024, CIP recipients Coney Island and Rail Haus Beer Garden (at right). '. Dover Kent Metropolitan Planning Organization (MPO) hired \ to develop the Downtown Dover Pathways Plan The study will identify means to better connect key activity centers within downtown Dover by " walking, bicycling, scooter, or other active transportation and micromobility options. _* https://doverkentmpo.delaware.gov/downtown-dover-pathways/ Developer Selected for Former Post Office Site The City of Dover received 14 proposals for redevelopment of the former post office, Plans call for 30 market-rate apartments, two commercial/restaurant spaces, and on-site parking. Creative Placemaking ¢ Two Loockerman St. crosswalks painted by community members as a pilot project - more to come! ¢ Fifth Annual Paint Dover! outdoor painting event. e Arts banners installed. »| Property Development Director hired to oversee _ site-readiness and development of three large-scale DDP owned sites. at | serena eee SIE Developer selected for 120 S. Governors Ave., mixed-use, mixed-income build. This redevelopment project anticipates 100+ apartments, first floor commercial with a 29,000 SF grocery store, coffee shop, fitness center, and daycare. Multi-Modal Transportation Hub The next large scale priority project underway would provide much needed parking and transit options such as bikes, scooters, etc. Including 146 residential units, commercial, and outdoor amenity. Public Arts and Recreational Amenities ' “a ee for the Community i - Learn more at www ownDover.com

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Delaware State News - 02/12/2024 Gregory Reaves, CEO and co-founder of Mosalc Development Partners, shows Gov. John Carney where a multl-modal transportation hub with more than 300 parking spaces will be bullt between South Governors Avenue and South Bradford Street as part of the Capital City 2030 Transforming Downtown Dover master plan. DAILY STATE NEWS/MIKE FINNEY Carney’s funding commitment propels downtown Dover revitalization efforts By Mike Finney Daily State News DOVER — With each step that Gov. John Carney took down Loockerman Street on Friday and into the heart of downtown, he could feel the positive energy from the crowd around him as he took a first-hand peek into the “Capital City 2030 Transforming Downtown Dover” plan. That crowd included members of the Downtown Dover Partnership, city of Dover government, state leg- islators and others. In the week prior to his visit, Gov. Carney announced the state of Del- aware’s plan to invest more than $25 February 21, 2024 12:01 pm (GMT -5:00) million into three priority projects for the revitalizing downtown Dover plan. “I think one of the things that’s really obvious is how much support they have from the local community and projects like this, as big as this is and as impactful as it can be, don’t really happen unless you have every- thing pulling in the same direction,” Gov. Carney said. “It’s very obvious that that’s what is happening here. “T just think that the concept of getting more people downtown makes a lot of sense for the business- es that are here and for enlivening the area in the community really is exciting.” Page: A0l The state’s proposed funding will help jump start Philadelphia-based Mosaic Development Partners in getting the long-term revitalization project underway. The develop- ment firm finalized its plan for Do- ver’s revitalization in January 2023. With $10 million proposed in the Fiscal Year 2025 recommended Bond Bill and $15.1 million allocat- ed by Gov. Carney from the state’s American Rescue Plan Act funds, the Downtown Dover master plan is expected to be able to: + Make critical water and waste- water infrastructure upgrades nec- essary to support downtown devel- See Dover — Page 5 Powered by TECNAVIA

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Delaware State News - 02/12/2024 DELAWARE STATE NEWS | BAYTOBAYNEWS.COM Page : AO5 MONDAY, FEBRUARY 12, 2024 | 5 Dover Continued From Page 1 opment, with a projected cost of $1.7 million. + Begin construction on a six-story retail and residential building at 120 S. Governors Ave., which is envi- sioned to have a community grocery store, day care and retail space along with 140-180 residential units, with a total projected cost of around $80 million. + Build a much-needed multi-level transportation center between South Governors and South Bradford St. with more than 300 parking spaces, a bus stop, with bike share and elec- tric vehicle charging. The center will serve downtown businesses and pro- vide parking for the new retail-resi- dential building across the street, with a projected cost of about $14 million. Mosalc developers eager to break ground Gregory Reaves, CEO and co-founder of Mosaic Development partners, was on hand for the gover- nor’s visit to downtown Dover. He was thrilled to hear about the funding for the revitalization project and excited to move closer to putting shovels in the ground. Mosaic Development Partners was selected by the Downtown Dover Partnership to develop the initial two properties. The group has a track record of successful redevelopment projects, largely around Philadelphia, includ- ing at the Philadelphia Navy Yard. Colonial Parking Inc. is also a partner in the project. “It’s so meaningful, not only to the specific projects that it supports, but to the people around the city to see that progress is being made,” Mr. Reaves said. “This is a community that really deserves this level of investment. We couldn’t be more thrilled than to be a part of this and work with the great people in Dover. “I see incredible potential for Do- ver. We frankly wouldn’t come here if we didn’t see it.” The state funding will be split between the city of Dover and the Downtown Dover Partnership and is expected to fully fund the utility work and the parking garage construction. A portion of the state funding will be added to private loans and invest- ment, housing tax credits and grants to finance the retail-residential build- ing. Diane Laird, executive director ~ ee re several members of the revitalization pai ners, community members, politicians and others who Jolned Gov. John Carney for a gllmpse of downtown revitalization efforts on Friday, Amy STATE NEWS/MIKE FINNEY Todd Stonesifer, president of the board of directors for the Downtown Dover Partnership and a down- town business owner, points out some of the highlights of Dover's revitalization plan to Gov. John Car- ney at The Hive on Loockerman Street on Friday. Daly STATE NEWS/MIKE FINNEY with the Downtown Dover Partner- ship, said state funding is needed to match and encourage private invest- ment at the early stages of the revital- ization plan. Todd Stonesifer, president of the board of directors for the DDP and a downtown business owner, said it also seems to be like a dream that the plan is coming together. “The pieces are falling togeth- er and coming together so magical- ly, and with the governor's help and the administration’s help, it becomes a reality,” he said. “I was pleasantly shocked, pleasantly surprised ... ec- static is the best word I can use to de- scribe it. February 21, 2024 12:03 pm (GMT -5:00) “Shovels are not far from going in the ground. We’re going to start with the multi-modal transportation facili- ty and then we'll follow quickly and parallel out of the ground with a six- or seven-story mixed-use building (across the street).” Dover Mayor Robin Christiansen agrees that things are certainly look- ing up when it comes to development in downtown Dover. “The City of Dover has a solid road map for its revitalization, building on efforts the city and its partners have been making over the last several years, and this state funding will make those plans a reality,” the mayor said. “Combining the Governor's Av- enue projects with the city’s recent selection of a redeveloper for the old post office and construction on the new Family Court building and park- ing garage, the key building blocks for downtown's future are coming into place.” Capitalizing on city's future By the time Mosaic’s $500 mil- lion Capital City plan for down- town is completed over the second half of this decade, it hopes to have 927 residential areas across six sites, a 27,500-square-foot grocery store, 204 hotel rooms, 792 parking plac- es, 97,000-square-feet of commercial space, 21.6 acres of green space and 2,575-linear feet of river walk. “When people come and say, ‘Hey, we should do this. This is our capital city,” you know, that’s a big deal,” Gov. Carney said. “It’s certainly a big deal for me. “I'm really excited about the opportunity, but of course, we've got to get it done. “There’s time limits on the projects themselves and hopefully we'll have the capacity within the engineering, planning and construction communi- ties to deliver the projects on time.” The governor also admitted, “The State of Delaware has a vested inter- est in the success of downtown Dover, not only because it is our capital city, but because it is where thousands of state employees work and where many would like to live.” Staff writer Mike Finney can be reached at 302-741-8230 or mfinney@iniusa.org. Follow @MikeFinneyDSN on X. Powered by TECNAVIA

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