Archives for July 2016

Two long abandoned and blighted motel properties on Central Avenue are about to see $20 million in new investment, as the city has finally signed agreements with developers to remake the two city-owned sites.

A development agreement has been signed with Palindrome Communities, a Portland-based developer, for the renovation of the former El Vado Motel and a new mixed-use project. The site is located near Old Town and the ABQ BioPark Aquarium and Botanic Garden.

A new rendering of the Casa Grande project, which will be built next door to the El Vado motel. The ground floor includes commercial space for restaurants. (Click here to view full slide show).

A lease-purchase agreement was made by a group headed by the owners of Albuquerque-based Construct Southwest to redevelop the former De Anza Motor Lodge.

Plans for the De Anza Motor Lodge, 4301 Central Ave. NE, haven’t changed much since the developers won for their proposal last year.

The $8 million project includes turning the former motor lodge into a boutique extended stay hotel, what they’re calling a ‘condotel’ because each unit is designed more as an apartment. The site will also include a restaurant, pool and a couple units restored to their original shape.

“We had a real clear vision from the very beginning,” said Bill Smith of Construct Southwest. “We are happy that the city selected us because we honestly feel this is the best use” for the property.”

He expects construction to start in January.

On the other hand, plans and partners have changed for the $12 million renovation of El Vado Motel and Casa Grande project.

Casa Grande was initially pitched as a 60-unit workforce housing project. Palindrome originally partnered with the Sawmill Community Land Trust, then later the nonprofit Family Housing Development Corp.

Chad Rennaker, owner of Palindrome Communities, said the team wasn’t able to secure federal tax credits for the project.

Instead, Palindrome teamed up with the city’s Department of Family & Community Services, which was able to secure a different type of housing credit.

But to make the finances of the project work, they lowered the total number of units to 32, added 10 market-rate units and made the bottom floor all commercial space for restaurants and retail.

“It did take a long time, but it always takes a long time,” Rennaker said. “The project originally had a lot more housing, and we were planning to do a lot more affordable housing, but we didn’t get the federal tax credits that we had planned for the project. There was no commercial component, so we scaled down the amount of housing and added commercial.”

The El Vado Motel renovation includes a boutique motel with an amphitheater, event space, a community food court, pool and retail space. The food court will consist of “food pods” that will provide a variety of dining options.

“I don’t think there’s anything like it in Albuquerque. It’s always tough being pioneers, but that’s what we end up doing all the time,” said Rennaker, who’s company is also behind most projects in the Sawmill district.

He expects to break ground on both projects this fall.

By: Stephanie Guzman (Albuquerque Business First)

Click here to view source article.

At the Leasing Information Network (LIN) Marketing Meeting on July 20, 2016, 12 excellent properties were presented for lease.
Thank you for attending the meeting and presenting properties!
Thank you to our host –801 Comanche NE #D/G. Print Flyer.
View July LIN properties here.

https://youtu.be/F8hFlVjnu4I
Home buyers achieve a big victory with passage of reforms to FHA condo loan rules. Thanks to more than 150,000 letters from REALTORS®, easier condo financing is heading to President Obama’s desk for his signature. Other segments in the latest Voice for Real Estate video look at the progress being made to curb so-called drive-by lawsuits that target building owners who might need to make technical changes to their property to comply with the Americans with Disabilities Act. The video also looks at what you need to know if a home you’re selling has surveillance cameras on it.
By: National Association of REALTORS® 
Click here to view source article.

Courtesy City of Albuquerque The city is planning to buy a fleet of electric buses, as shown in the rendering above, for its Albuquerque Rapid Transit project. 

The buses being purchased for the Albuquerque Rapid Transit project will be powered with electricity, not diesel – a move Mayor Richard Berry says will save money and reduce pollution.

The purchase, he said, would put Albuquerque in position to be the first city in the country to operate a fleet of 60-foot-long electric buses. It also would give the city’s bus rapid transit system a chance to earn a gold environmental rating; no other rapid ride transportation system in the U.S. is gold-rated.

Berry told the Journal on Tuesday that his administration is negotiating with BYD Motors Inc. to buy 18 electric buses, which would serve as the fleet for ART, his signature transportation project. The contract is written, and both parties are giving it a final read before signing, Berry said.

The electric-powered fleet is expected to cost roughly $24 million, or $7 million more than diesel buses, city officials said. But operating the buses would cost about $21 million less over the next 12 years – the life of their warranty – for a net savings of $14 million.

The details will depend on which financing options the city pursues.

“I’m a fiscal conservative,” Berry, a Republican, said Tuesday. “This is a fiscally conservative decision.”

But he also said electric vehicles are the way of the future, and the city has to replace its diesel-powered “Rapid Ride” buses anyway because of their age.

“There’s something to be said for being innovative,” Berry said.

Albuquerque Rapid Transit is the $119 million proposal to build a network of bus-only lanes and canopy-covered bus stations in the middle of Central Avenue. Each bus would carry 45 to 55 passengers, and would be charged about once a day.

The electric buses are 30 percent lighter than diesel buses and much quieter, Berry said.

BYD estimates that each bus will cause a 121-ton reduction in carbon dioxide per year. According to Environmental Protection Agency methodology, the reduction in particulate matter from one electric bus results in $55,000 in health benefits savings annually. A fleet of 18 buses would cause a savings of $11.9 million to the citizens of Albuquerque over the lifetime of the buses, BYD said in a presentation released by the city.

The project doesn’t have final approval yet from the federal government, which would provide most of the funding, but Berry remains certain that will not be a problem. It also faces a legal challenge from opponents who allege the project would violate environmental and other laws – a claim the city and Federal Transit Administration strongly dispute. A federal judge has scheduled a hearing July 27 to hear arguments over whether to grant a preliminary injunction to halt the project.

Berry said Tuesday that he expects the project to move forward unless the court orders otherwise.

“We’re at a pivotal point in our city,” he said. “I think we’re ready to stop talking ourselves out of every idea that comes along.”

Supporters say the project will mimic light rail, only at a fraction of the cost, and make the Central corridor a more pedestrian-friendly place. Opponents say the bus-only lanes will choke traffic and destroy the car-friendly charm of the old Route 66.

The project picked up another endorsement this week. In a letter to the Federal Transit Administration, the Albuquerque Hispano Chamber of Commerce said it fully supports the city’s efforts to build and operate Albuquerque Rapid Transit. The group said it appreciates and understands the concerns of opponents, some of whom operate businesses along the proposed route.

But “we also believe that the ART project will be beneficial to the city and to businesses along the ART corridor in the long run,” Hispano Chamber President Alex O. Romero said in the letter.

Major business groups and large employers along Central, including the University of New Mexico and Presbyterian Health Care, are among supporters of the project. Opponents have included many smaller businesses along Central and residents on neighboring streets, among others.

Michael Riordan, the city’s chief operations officer, said the buses cost less to operate because electricity is cheaper than diesel and because they require less maintenance.

But they cost more up front.

The city’s ART plan assumed it would cost about $18 million to buy new buses. That means the city would have to find an extra $6 million to have enough for electric buses.

Riordan said the city has federal grants available that could cover the increased cost, though that would mean the city couldn’t use the grant money for other purposes.

And the exact cost of the bus purchase isn’t final because the city is weighing whether to buy or lease batteries for the buses.

In any case, the city’s Rapid Ride buses – the system that would be replaced by ART for the most part – are already at the end of their useful life, the mayor said, so the city needs to buy new buses regardless of whether ART goes forward.

Albuquerque would have a chance to be the first city with 60-foot electric buses, though smaller electric buses are in operation, he said.

“It’s a proven technology,” Berry said. “I’m very comfortable with this.”

The buses the city wants to purchase are still undergoing durability testing, city officials said. BYD would provide a 100 percent performance bond, meaning the city would not have to pay for the buses if they never pass the tests. (The buses have already passed safety tests.)

BYD calls itself the world’s largest manufacturer of battery-powered electric buses. Riordan visited the company’s plant in Lancaster, Calif., as part of his review.

The city considered proposals from other companies, too, for both diesel and electric buses.

The $14 million in savings over the next 12 years would give the city extra financial flexibility, Berry said.

“It’s going to be a great, great opportunity for Albuquerque,” Berry said.

By: Dan McKay (Albuquerque Journal)

Click here to view source article.