Eastside MAX Station Communities Project alternatives development and implementation report June 2009

table ofcontents

2 Introduction

3 Eastside MAX Station Alternatives

4 60th Avenue 12 20 Parkrose Sumner 28 122nd Avenue 36 148th Avenue & 162nd Avenue

44 Financial Feasibility for Station Area Development

Prepared for the City of Portland Bureau of Planning and Sustainability and Bureau of Transportation by Otak, Inc. in association with DKS Associates

This project is partially funded by a grant from the Transportation and Growth Management (TGM) Program, a joint program of the Oregon Department of Transportation and the Oregon Department of Land Conser- vation and Development. This TGM grant is fi nanced, in part, by federal Safe, Accountable, Flexible, Effi cient Transportation Equity Act: A Legacy for Users (SAFETEA_LU), local government, and the State of Oregon funds. The contents of the document do not necessarily refl ect views or policies of the State of Oregon. Eastside MAX 1 introduction

This report documents the process of transportation system. The improvements also The land use and transportation alternatives, developing, evaluating, and selecting land use address needs for better neighborhood street including the conceptual development plans, were and transportation plan alternatives for the six connectivity. presented at a series of community workshops station communities served by in February and March 2009. These workshops system. It also documents actions that comprise Alternatives Evaluation included a presentation of the overall vision the recommended Implementation Strategy. The evaluation of the alternatives was based on and proposed actions followed by small group The overall approach starts with the Station three components: the conceptual development discussions for each station community. Community Vision and the Station Community plan fi nancial feasibility analysis, the traffi c sensitivity Framework Map, which summarize the needs, analysis, and public comments from the community Implementation Strategy opportunities, and constraints for each station workshops. The evaluation results were used by the project community. Because each station community has team to draft the recommended actions in the an existing land use pattern and transportation An opportunity site for new development was implementation strategy. The implementation system, the alternatives for each station are not identifi ed for each station area. Development at strategy has been divided into two phases for distinct strategies, but a set of individual actions these sites could be transformative in creating a each station community. The fi rst phase consists of that can be mixed and matched to create a more vibrant and appealing station community. short-term zoning changes that may be adopted preferred strategy for each station community. For each opportunity site a conceptual plan for by the Planning Commission and City Council high quality, transit-supportive development was over the next six months. The short-term actions Alternatives Development prepared and analyzed for fi nancial feasibility. are focused on simple, straight-forward changes The land use alternatives are a series of None of the scenarios proved to be economically for which there is broad community support comprehensive plan amendments and zone viable in meeting targeted investor rates of return. and supported by the transportation impact changes designed to realize the vision and station In general, prevailing market rents are too low, analysis. Longer term recommendations will be framework. For each station area, an opportunity assumed development costs too high, and the forwarded to the Portland Plan process for further site was selected to create and evaluate a fi nancing market is not currently robust enough. consideration as part of the citywide update conceptual development plan that is consistent The alternatives were also evaluated through a to the Comprehensive Plan. The transportation with one of the proposed land use changes. traffi c sensitivity analysis. The analysis included an projects will be included in the next update of the The plans also refl ect aspects of the community assessment of trip generation and distribution Transportation System Plan, which is a key step for vision and acknowledged best practices of based on the proposed zoning changes within securing funding. During the interim, City staff will transit-oriented development. The transportation each station community. The analysis provided continue to look for opportunities to implement alternatives are a series of improvements designed information related to potential signifi cant impacts additional projects and ideas identifi ed through the to enhance pedestrian and bicycle access to to station area intersections. planning process. the MAX station and overall safety of the 2 Eastside MAX eastside maxstation

Eastside MAX 3 60th avenue alternatives development

Max Station Context 60th Avenue Station Area Community Framework Plan

Vision Statement Station Community Framework In 20 years, the 60th Avenue MAX light rail station The framework plan emphasizes improving community is an active residential center with station access. Improvements include measures supportive retail and employment uses. Attractive to mitigate the “freeway fracture” of I-84 within multi-story residences and attached townhouses the neighborhood with 60th Avenue crossing are located close to the light rail station and over the freeway as the “red carpet to MAX” as are designed to blend in with the surrounding a pedestrian and bike access route. Improving established Rose City Park and North Tabor the local street network of pedestrian and bike neighborhoods. Employment uses in the area have connectivity is also important. The land use transitioned from warehousing to more intensive plan focuses on encouraging Neighborhood uses that bring more employees and fewer trucks Commercial Main Street development on NE to the area, which reduces the confl icts on local Halsey and NE Glisan Streets. It also looks to residential streets. Sixtieth Avenue provides a safe redevelopment of the light industrial uses as a key and enjoyable connection from the MAX station catalyst to a complete station community. Specifi c to neighborhood commercial shops and services at elements of the framework include: Glisan and Halsey. Improved safety and easy access at the 60th Avenue station provides a convenient • Improve pedestrian facilities on NE 60th connection for residents and employees to Avenue as a “red carpet to MAX.” The red additional services and activities at the Hollywood carpet emphasizes safety, comfort and visibility. and 82nd Avenue of Roses station communities. It is experienced as a primary connection The Sullivan’s Gulch Trail along I-84 and other between the station and higher intensity improvements to 57th and 63rd Avenues provide residential and commercial uses. alternate routes for bicyclists and pedestrians to • Improve other pedestrian and bicycle routes connect the station and the surrounding area. to NE 60th Avenue. • Enhanced existing neighborhood commercial nodes on NE Halsey and NE Glisan Streets. • Redevelopment of the light industrial area adjacent to the station as a catalyst for transforming the area. • Adjust infi ll design quality to improve neighborhood compatibility. 4 Eastside MAX community framework

Street Retail Corridor

Eastside MAX 5 60th avenue alternatives development

Land Use Plan Opportunity Site Concept Plan Opportunity Site Concept Plan

Land Use Plan the future development pattern from 5-6 unit Evaluation and Analysis The overall objective is to encourage development buildings to duplexes and triplexes on a standard Financial analysis of the conceptual development of the station community as a transit oriented 5,000 square foot lot (Area 3). scenario indicated a positive rate of return on residential neighborhood with mixed use investment over a ten year period, but short of commercial areas in close proximity to the station. the targeted rate to be 15 percent. The prevailing The main land use element is enhancing the rents for housing and offi ce space were too Opportunity Site for Redevelopment viability of existing “Main Street” retail services low to offset the high cost of land acquisition The light industrial area north of the station along NE Glisan Street and NE Halsey Street, with and construction. When fi nancial analysis of the (sub-area 2) was identifi ed as the opportunity NE 60th Avenue as the connecting street between offi ce component and the residential component site for the station community. The conceptual retail nodes and the station entrance (Areas 1 & were studied separately the offi ce development development plan refl ects a zone change from 4). The proposed zone change from Neighborhood performed better than residential development. EG2 to EX, allowing for a more intensive uses mix Commercial (CN2) to Storefront Commercial of employment as residential uses (Area 2). The (CS) provides an increase in development Community Input development program included: potential to encourage redevelopment of key sites The community supported the concept of and includes the development standards to create enhancing the existing retail nodes (Areas 1&4). • Higher intensity employment uses along the the main street urban form that is consistent There was also strong support for redeveloping north side of I-84. with the existing buildings along NE Glisan Street. the light industrial area (Area 2) as a way to • Residential development transition from high The existing NE Glisan Street retail node can be leverage additional community amenities such as density to medium density as it approaches extened with commercial zoning along NE Gilsan urban plazas. the existing residential neighborhood. from 52nd Avenue to 63rd Avenue (Area 5). • Small-scale retail uses along NE 60th Avenue One key feedback was a change in strategy to near the station entrance. Within the residential areas, there is a need to address infi ll development. Many recognized the • An internal public street network that improve the quality of new infi ll development principle behind increasing density within close enhances connectivity. to encourage better use of materials and design proximity of the MAX station, which resulted in • Connection to the planned Sullivan’s Gulch features to promote compatibility with the existing considering the use of the Design (d) Overlay Trail. neighborhood as the area transitions to higher Zone, rather than lowering densities, to enhance • A second access to the station platform. density housing types. One proposed action is to the quality of development. change a portion of the R1 zoning to R2 zoning, which could provide a better transition by changing

6 Eastside MAX land use plan

Zoning Alternatives

Eastside MAX 7 60th avenue alternatives development Narrow existing sidewalk on 60th Avenue Sidewalk improvements with development

Transportation Plan Traffi c Sensitivity Findings The transportation plan emphasizes creating the The proposed zoning changes meet operational There is also strong support for safety “red carpet to MAX” along NE 60th Avenue, standards for the PM peak hours at the NE 60th/ enhancements for the crosswalk on NE 60th to connect the neighborhoods across the I-84 NE Glisan Street intersection, but congestion Avenue at the station entrance. Additional signage, divide with a wider set of pedestrian and bicycle would get worse. Potential mitigation could include fl ashing lights, etc. are needed to increase visibility. improvements throughout the neighborhood. A improvements to the eastbound left turn lane Improvements are needed at the NE 60th Aveue/ key component is reconnecting the street grid (currently a single left turn pocket), southbound NE Willow Street intersection because of the with new streets through the light industrial area. right turn lane (currently a shared through/ amount traffi c head to the I-84 on-ramp. Specifi c improvements include: right turn lane) and to the northbound left turn lane (currently a single left turn lane). The other Over the long-term, the community would like • NE 60th Avenue sidewalk enhancements from signalized intersections at NE 60th Avenue/NE to see the local street grid completed through NE Halsey Street to NE Glisan Street. Halsey Street and NE 58th Aveue/NE Glisan Street the light industrial area to reduce truck traffi c on • Bike Boulevard from NE 57th Avenue to NE (I-84 ramps) will meet performance standards. residential streets. Hassalo Street. • Bike Boulevard from NE Oregon Street to NE Community Input There is a great deal of concern about MAX 63rd Avenue. Community strongly supports the concept of a commuter parking in the neighborhood and some • Bicycle and pedestrian crossing at NE 63rd parallel bike boulevard, especially if it results in interest in creating a residential parking permit Avenue/NE Glisan. improved crossings at NE 57th Avenue/NE Halsey program if the problem gets worse. • Pedestrian crossing enhancements at NE 60th Street and NE 63rd Avenue/NE Glisan Street. Avenue station entrance. Some concerns were expressed about designating There is also interest in additional stop signs at • Local street improvement LIDs and Green NE Oregon Street as a bike route without local local street intersections to discourage cut-through Street connectors. street improvements to increase pavement width traffi c. and add curbs and sidewalks.

8 Eastside MAX transportation plan

Eastside MAX 9 60th avenue implementation strategy

NE Glisan Main Street Infi ll Development Light Industrial Uses

Short-Term Actions In addition, the neighborhood has identifi ed the Other Actions The recommended short-term actions are focused pedestrian crossing enhancements at the NE 60th • TriMet Electrical Substation activation – food on a limited set of comprehensive plan map Avenue MAX station entrance as the highest cart or bike station amendments and zone changes to enhance the priority safety project by adding signage and • Parking Enforcement – informal park-and-ride, existing neighborhood commercial nodes and to lighting to increase the visibility of the existing especially long-term airport parking requires improve the quality of the infi ll development in the crosswalk. more enforcement and possibly a residential residential neighborhoods. permit program. • Change commercial zoning at 60th/Glisan and Next Steps • Public Art – collaborate with the Regional 60th/Halsey from CN2 to CS to encourage The other comprehensive plan map amendments Arts Culture Council to install public art at mixed use retail/residential development. will be considered as part of the Portland Plan the MAX station. • Apply Design Overlay Zone to the CS, RH, process. There is strong community interest in and R1 zoning between Halsey and Glisan to redevelopment of the light industrial area as a way promote higher quality development and to of leveraging change and bringing in amenities for ensure infi ll development will be compatible the surrounding neighborhood. This redevelopment with the surrounding neighborhood. would need to be a public-private partnership • Change the residential zoning to be consistent with a master plan to address the mix of uses, with the Comprehensive Plan. Currently, density, design, circulation, and transitions to the most properties are zoned for single-family surrounding neighborhood. residential use (R5), but the Comprehensive Plan Map designates the area for higher density zones (RH or RI). Changing the zoning will help reduce the confusion by clarifi ying the infi ll development potential. At the same time, the zone change equalizes the burden on developers to compensate for adding the Design Overlay Zone, which adds another step to the land use review process – a step that can add time and money to the cost of a project. There is a concern that the added step increases cost that could be otherwise be invested in the quality of the development. 10 Eastside MAX Existing Cross Section on NE 60th Avenue - North of Interstate 84 implementation strategy 60th avenue

NE 60th Avenue

Transportation Improvement Projects The transportation projects will be incorporated Future Cross Section with Setback and Landscaping - North Hassalo into the next update of the Transportation System Plan project list. The proposed bicycle routes will be included in the Bicycle Master Plan update that will be adopted by the City Council in Fall 2009.

• NE 60th Avenue streetscape standards from NE Halsey Street to NE Glisan Street. • NE 60th Avenue bike lane from NE Hassalo Street to NE Oregon Street. • NE 57th to NE Hassalo Street to NE 60th Avenue to Oregon to NE 63rd Avenue Bike Boulevard • Pedestrian/Bicycle Crossing at NE 63rd Avenue/NE Glisan Street. • NE 58th Avenue/NE Glisan Street intersection pedestrian safety enhancements. Future Cross Section with Setback and Landscaping - South Hassalo • Sullivan’s Gulch Trail connections • Local street improvement LIDs and Green Street connectors.

NE 60th Avenue street cross-section is different north and south of NE Hassalo Street to accommodate bicycle access to the MAX station entrance. This difference is a reallocation of the curb-to-curb width by removing parking from the west side of the street to accommodate bike lanes on both sides. Wider sidewalks will be constructed through dedications as properties redevelop.

Eastside MAX 11 82nd avenue alternatives development Max Station Context 82nd Avenue Station Area Community Framework Plan

Vision Statement Station community Framwork Located at the crossroads of I-84, the NE 82nd Avenue The overall objective is to create a commercial of Roses, the Sullivan’s Gulch Trail, and multiple transit employment center that builds on the lines, the NE 82nd Avenue of Roses station community Banfi eld Pet Hospital corporate headquarters and is a vibrant and safe activity center with a wide range of the transportation crossroads of three MAX lines, people traveling to and from the station by foot, bicycle, I-84, NE 82nd Avenue, and future streetcar and bus, streetcar, light rail, and vehicles. An iconic roof over Sullivan’s Gulch Trail connections. Specifi c elements NE 82nd Avenue establishes the station as a true hub of include: activity. Employment and commercial uses up and down NE 82nd Avenue with a mix of housing nearby all benefi t • Encourage high rise commercial offi ce and from this convergence of transportation options. mixed use Main Street development on NE Overall, the station community has a unique identity that 82nd Avenue. refl ects the Avenue of Roses theme and its importance as • Improve pedestrian facilities on NE 82nd a commercial and employment hub. Buildings surrounding Avenue as a “red carpet to MAX.” The red the light rail station are tall and attractive with a distinctive carpet emphasizes safety, comfort, and visibility. style. They contain a mix of uses with ground fl oor retail It is experienced as a primary connection and offi ces above. Restaurants, café’s, and other retailers between the station and higher intensity are located along NE 82nd Avenue of Roses and provide residential and commercial uses. employees, residents, and travelers through the area • Improve the neighborhood street network for desired goods and services. Attractive public spaces with pedestrian and bike connectivity. food carts and other amenities are situated near the light • Provide bike routes to the station parallel to rail station so that pedestrians in the area and bicyclists NE 82nd Avenue. from the Sullivan’s Gulch Trail can enjoy a respite and the • Adjust infi ll design density and improve design surroundings. The combination of new public and private quality for compatibility. investment, streetscape improvements, and increased activity in the area has helped to improve the safety and security in the area. New residential development is designed to scale down in height to blend in with the established Montavilla and Madison South single-family neighborhoods. Area residents have safe pedestrian and bicycle access to the heart of the station community.

12 Eastside MAX community framework

Eastside MAX 13 82nd avenue alternatives development Opportunity Site Concept Plan Opportunity Site Concept Plan

Land Use Plan Opportunity Sites for Redevelopment Evaluation Analysis The alternatives encourage more intensive com- Three opportunity sites adjacent to the station Financial analysis of the conceptual development mercial employment uses along NE 82nd Av- were identifi ed Elmer’s Restaurant Block (NE 82nd scenario of new offi ce buildings indicated a enue near the station. Employment uses in taller Avenue and NE Wasco Street), Cabana Motel postitive rate of return on investment over a buildings immediately adjacent to the station will Site (NE 82nd Avenue and NE Schuyler Street) ten year period, although the scenario falls short visually anchor the station as an activity center. and lands bounded by the NE Halsey Street of the targeted rate of 15 percent. A signifi cant Selected sites are identifi ed to upzone to higher overpass and I-84. The preferred site is the Elmer’s development cost would be the three fl oors of density Central Commercial (CX) (Areas 1, 3, Restaurant Block. A conceptual development below-grade parking. &4). The transition to more intensive employment plan was prepared for that site. The development uses can be augmented by increased storefront program included: Community Input retail and mixed use/retail development north of Overall, public comments supported the the station along NE 82nd Avenue by changing • High intensity offi ce towers. transformation of NE 82nd Avenue and identifi ed the zoning from General Commercial (CG) to • A small-scale supportive retail building. traffi c calming and streetscape improvements as Storefront Commercial (CS) (Area 2). Application • Public plaza. key elements to creating a better and more inviting of a Main Street (m) overlay to NE 82nd Avenue • Underground parking. place. There was also a great deal of interest in the can encourage that development provide specifi c bike station concept and activating the space under desirable standards. the NE Halsey Street overpass.

Within the residential areas, a better transition can be created between higher and lower density development through selective rezoning from R1 to R2 (Areas 5-8) and applying a Design Review (d) overlay zone to high density areas.

14 Eastside MAX land use plan Higher Intensity Commercial Corridor

Zoning Alternatives

Eastside MAX 15 82nd avenue alternatives development 82nd Avenue Bike Station Concept

Transportation Plan Traffi c Sensitivity Findings The transportation improvements are focused on The NE 82nd Avenue/NE Glisan Street creating a “red carpet to MAX” along NE 82nd intersection does not meet operational standards Avenue by increasing the sidewalk width through under exisitng zoning. Any proposed zone changes dedications and reallocation of the right-of-way must not make conditions worse, by mitigating any and improved streetscape with street trees, additional trips with intersection improvements benches, and lighting. The other focus is on parallel such as right turn pockets and signal timing. The bicycle routes to provide a safe route to the MAX traffi c analysis shows that mitigation is possible to station that minimizes the amount of travel on NE meet City and ODOT performance standards. 82nd Avenue. Community Input • NE 82nd Avenue streetscape improvements Most public comments focus on the pedestrian as Avenue of Roses. barrier proposed for the center median at the • Bike boulevards on NE 80th Avenue and NE MAX station entrance that was created through 86th Avenue to improve station access. a separate on-going process. Opinion was split on • Improved bike connection from NE Schulyer support for the barrier itself, but most agreed that Street/NE 78th Avenue to NE Tillamook the long-term solution is a second entrance to Street bikeway. the MAX station from the westside of NE 82nd • Improved bike and pedestrian crossing at NE Avenue. 82nd Avenue and NE Pacifi c Street. • Station access connection to planned Sullivan’s Many comments also focused on the future of NE Gulch Trail. 82nd Avenue and the confl ict created between • Separate pedestrian/bicycle bridge across I-84. ODOT managing the roadway as a state highway and the long-term vision of a commercial main street and station community. The community wants positive street level uses, such as cafes and food vendors that serve the neighborhood, as well as transit riders.

16 Eastside MAX transportation plan

Sepap rar ttee PePededests rir anan/BBikke BBriddge

Eastside MAX 17 82nd avenue implementation strategy

Infi ll Residential Development Infi ll Residential Development Existing Residential Neighborhood

Short-Term Actions Next Steps Other Actions The recommended short-term actions are focused In general, there is community support for the Improving public safety and security at the MAX on applying the Design (d) Overlay Zone to higher concept of increasing the zoning at the station station platforms and immediate surrounding area density areas and commercial areas along NE 82nd area as a means to encouraging new development. are critical to creating conditions that not only Avenue as an interim measure to raise the quality However, the evaluation and analysis shows that boost MAX ridership, but are more conducive of development pending further consideration of successful transformation of the station community to private investment and development. The NE 82nd Avenue corridor in the the Portland Plan is dependent on the future status of the longer NE City of Portland and TriMet need to continue to process. 82nd Avenue corridor. The Portland Plan process collaborate to improve security at the station and a subsequent NE 82nd Avenue Corridor Plan platforms. With respect to transportation improvements, the will help resolve many of the outstanding issues. focus is on addressing the pedestrian safety and The Blue Line was constructed before public art circulation needs at the MAX Station Entrance. was considered to be an essential part of the Specifi cally, one proposal is to initiate a conceptual MAX stations. Public art can also help defi ne the design study to add a second (west side) entrance character of the station community. The City of to the MAX station platform to reduce the need Portland and TriMet should collaborate with the to cross NE 82nd Avenue. Regional Arts and Culture Council to install public art at the MAX station. There is a need to scope and fund the NE 82nd Avenue Corridor Plan to address the long-term The TriMet Electrical Substation at the NE Halsey role and function of the street, the potential as a Street overpass is an opportunity site for an urban future streetcar corridor, and the desired land uses plaza, bike station, or food cart to help activate along the entire corridor. the station area. The plaza at NE 82nd Avenue/ Jonesmore adjacent to the station is another opportunity to activate the station.

18 Eastside MAX implementation strategy 82nd avenue

Halsey Overpass

Transportation Improvement Projects Existing Cross-Section NE 82nd Avenue The transportation projects will be incorporated into the next update of the Transportation System Plan project list. The proposed bicycle routes will be included in the Bicycle Master Plan update that will be adopted by the City Council in Fall 2009.

• NE 82nd Avenue streetscape standard and improvements. • Bike access to station entrance. TURN/CENTER LANE • NE 80th Avenue Bike Boulevard – south of I-84. • NE Schuyler Street/NE 78th Avenue bike connection to NE Tillamook Street bikeway. • NE 86th Avenue Bike Boulevard (north) – NE Broadway to NE Siskiyou. Conceptual Cross Section NE 82nd Avenue • NE 87th Avenue Bike Boulevard (north) – NE Hassalo Street to Springwater Corridor. • Connection to proposed Sullivan’s Gulch Trail.

NE 82nd Avenue cross-section vaires with location. At a minimum, future development should be required to dedicate six feet of additional right-of-way to widen the sidewalk and add a planter strip. Specifi c cross- sections will be developed through a future corridor plan. TURN/CENTER LANE

Eastside MAX 19 alternatives development

Max Station Context Parkrose/Sumner Avenue Station Area Community Framework Plan

Parkrose/Sumner Vision Statement Station Community Framework As the fi rst light rail stop from the Portland The framework plan emphasizes activating NE International Airport/Columbia Corridor area, the Sandy Boulevard at the transit center as a way Parkrose/Sumner station is a major “portal” to to connect the main street segments west of the city with excellent access to all parts of the I-205 and east of NE 102nd Avenue Key land city. A new streetcar has led to a revitalized NE use objectives include new retail uses fronting Sandy Boulevard Main Street from the Grotto Sandy Boulevard and opportunity sites for catalyst to NE 102nd Avenue, which provides a range of redevelopment as employment or residential shops and services for area residents, transit riders, uses (Areas 1 and 2). Sandy Boulevard also needs and people who work nearby in the Columbia streetscape improvements, with wide sidewalks, Corridor. The underutilized I-205 right-of-way street trees, and pedestrian crossings,to tie along NE 92nd Avenue has been temporarily together the main street segments. transformed into a community open space until it is needed for a future I-205 interchange NE Sandy Boulevard is also a potential streetcar improvement. The MAX station serves as a key route. Retail and mixed use development with transportation hub for pedestrians, bicycles, buses, high-quality architectural design will create streetcars, light rail transit, and autos. The station’s both destinations and an attractive Main Street park-and-ride lot has been transformed into an environment for transit riders and the local iconic multi-story building with shops, offi ces, and neighborhood. structured parking. To the east, new development has taken advantage of large parcels to create Pedestrian and bicycle improvements will provide integrated mixed use developments that serve improved access to the transit center and within the neighborhood and support the transit station. the neighborhood. Specifi c elements of the The residential neighborhood to the south of framework plan include: the station has transformed into well designed • Streetscape improvements for Sandy townhomes and apartments on improved local Boulevard. streets with sidewalks. Wider sidewalks, new • 96th Avenue bicycle and pedestrian pedestrian crossings. and bike boulevards to the improvements. station make it easier for everyone to ride MAX. • Prescott Street bike boulevard enhancements. • Catalyst redevelopment near the station and transit center. 20 Eastside MAX community framework

Eastside MAX 21 alternatives development

Opportunity Site Concept Plan Opportunity Site Concept Plan

Parkrose/Sumner Land Use Plan Opportunity Site for Redevelopment Evaluation and Analysis The overall objective is to create a commercial The park-and-ride lot for the Parkrose/Sumner Financial analysis of the conceptual development center around the MAX station that connects Transit Center is utilized by bus and MAX riders. scenario indicated a negative rate of return on the two segments of the NE Sandy Boulevard A portion of the site creates the opportunity to investment. Increases to assumed future rents and Main Street. Land use changes are designed to develop a landmark mixed use building that would corresponding decrease in building costs indicated encourage more intensive commercial and mixed include replacement parking for transit users. A a marginally positive rate of return. Costs for park- use deveopments with a storefront character by mixed use building with a signifi cant amount of and-ride replacement parking and relatively low changing the zoning from General Commercial housing can activate the MAX station and the market rents in this location adversely affected (CG) to Central Commercial (CX) and Storefront NE Sandy Boulevard Main Street. The conceptual fi nancial performance. Commercial (CS) (Areas 1-3). Application of a development program includes: Main Street (m) overlay to NE Sandy Boulevard ODOT has indicated that there is a potential can provide additional development standards. • 150 residential units. future need for the underutilized right-of-way Within residential areas south of the transit • 10,000 square feet of groundfl oor retail. on the westside of I-205, especially as part of a center, a better transition is needed between • Three levels of structured parking that include redesign of the interchange. Therefore, it is not the commercial corridor and the residential the current park-and-ride spaces. surplus land available for development, but might neighborhood. Areas 5 and 6 are existing • A private plaza facing the MAX station. be available for a temporary, interim use as a residential areas zoned General Commercial community open space that should still enable the (CG). Rezoning the areas that are off NE Sandy area to meet future transportation needs. Boulevard to Mixed Use Commercial (CM) along NE 102nd Avenue and lower density multi-dwelling Community Input (R2) residential can provide this transition. In Area Concern expressed by the owner and residents 4, the existing R2 zoning is proposed to change of the mobile home park (Area 1), especially with to R1 zoning to increase density closer to the respect to the long-term timing of redevelopment MAX station. The R2 zoning south of NE Wygant and immediate concerns about displacement. (Area 7) is proposed to be rezoned to R2.5 zoning that is more compatible with the single-family Comments from Sumner neighborhood residents residential character. focused on a more direct access to the MAX Station with a new pedestrian bridge across I-205. Five parcels on the north side of the NE Sandy The neighbors also desire a neighborhood park/ Boulevard/NE Prescott Street intersection were community center on the underutilized ODOT considered for rezoning to CS to fi ll in a gap along ROW. the NE Sandy Boulevard. corridor. 22 Eastside MAX land use plan

Zoning Alternatives

Eastside MAX 23 alternatives development Transit Center Unimproved Local Street

Parkrose/Sumner Transportation Plan There is strong support for streetscape The transportation improvements are focused improvements along Sandy Boulevard for area on enhancing pedestrian and bicycle connections residents to safely walk to and from the transit to the Parkrose Transit Center. Sandy Boulevard center. between NE 82nd Avenue and I-205 lacks • NE 96th Avenue. sidewalks and safe pedestrian crossings. East of • Sandy Boulevard. 102nd Avenue and Sandy Boulevard has been • I-205 bikeway connection through interchange improved with wider sidewalks, street trees, and Sandy/99W/Killingworth. landscaped medians that can serve as a model for improvements to the segment from 82nd Traffi c Sensitivity Findings Avenue to 102nd Avenue. NE 96th Avenue is The area intersections do not meet mobility an important north-south route through the standards under existing zoning, therefore any neighborhood and connecting to Prescott Street zone change must not add to the congestion. that provides an east-west bicycle connection. NE Mitigation at the interchange is diffi cult. Eliminating 96th Avenue is a partially improved street that the zone change in the area eliminates most of needs pavement widening as well as curbs and the new trips, mitigation at NE Killingsworth/I-205 sidewalks. The I-205 bikeway needs a more direct northbound intersection that will result in route through the station community, specifi cally better performeance at the intersection. at the Sandy Boulevard/Killinsworth/NE 99th Potential mitigation could include allowing a free Avenue intersection. Over the long term, there is a fl owing eastbound right turn movement with a need for an interchange area management plan to northbound left turn pocket and protected signal address the congestion at the I-205/Killingsworth phase. freeway ramps, as well as a second bridge over I-205 to provide a direct connection from the Community Input Sumner neighborhood to the MAX station. Most of the public comments concerned improvements to NE 96th Avenue and other partially improved local streets in the surrounding area. There was interest in a coordinated local improvement district, especially if it could leverage other public funds to enhance the access to the transit center. 24 Eastside MAX transportation plan

Future Bike/Pedestrian Connection to MAX station platform

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Eastside MAX 25 implementation strategy

96th Avenue ODOT Right-of-Way

Parkrose/Sumner Short-Term Actions Next Steps Other Actions The proposed changes could signifi cantly Comprehensive Plan and Zoning Map The City of Portland and the Sumner transfrom the station community. However, there Amendments neighborhood should work with ODOT to secure are a number of signifi cant issues that need to be The other comprehensive plan map amendments an arrangement for the temporary use of the resolved before the area can thrive. Therefore, the will be considered as part of the Portland Plan I-205 right-of-way as a community open space. most signifi cant land use changes are deferred process. Between the traffi c analysis and the public to the Portland Plan Process. The short-term comments, the proposed changes for Area One changes are limited to two areas. In Area 3, there present signifi cant challenges related to traffi c are two parcels across from the transit center one impacts and displacement of the mobile home vacant and one a noncomonforming use, that are park. Therefore, these changes need further study. recommended to change from R1 to CG. The park-and-ride lot is a key site for The second set of zoning changes is to six parcels transformation of the area. The City of at the Sandy Boulevard/Prescott intersection (Area Portland and TriMet should continue to pursue 8) that are recomended to be rezoned from R7 development opportunities and clarifi cation of the to CG. The rezoning to CG is an interim measures federal requirements for replacement parking. to consolidate commercial uses at two key nodes, pending future changes the Sandy Boulevard The reorganization of the zoning south of Sandy corridor to create a main street character in the Boulevard is feasible without further impacting the station community. transportation system. Rezoning the interior CG areas to residential uses should “free-up” trips to With respect to transportation improvements, allow for other land use changes, including rezoning the focus is on addressing the pedestrian safety the park-and-ride lot to CX. and circulation needs along NE 96th Avenue from Prescott to Sandy Boulevard. This partially Over the long-term the Sandy Boulevard Corridor improved street with a 20-foot wide pavement and from NE 57th Avenue to the Parkrose Transit shoulders with no drainage or sidewalks represents Center needs a Corridor Plan process to assess a challenge to pedestrians and bicyclists. In the the future streetcar potential and revitalization as short-term, there is a need to create a conceptual a main street with zoing changes and streetscape design for the project for inclusion in the TSP. improvements.

26 Eastside MAX implementation strategy Parkrose/Sumner

Future Cross Section - NE 96th Avenue South of Sandy Boulevard

Transportation Improvement Projects The transportation projects will be incorporated TURN/CENTER LANE into the next update of the Transportation System Plan project list. The proposed bicycle routes will be included in the Bicycle Master Plan update that will be adopted by the City Council in Fall 2009.

• Sandy Boulevard Main Street streetscape improvements. • Prescott Bike Boulevard enhancements. • I-205 Bikeway/Killingsworth interchange enhancements. Future Cross Section - NE Sandy Boulevard West of 96th Avenue • Sandy Boulevard/Killingsworth/99th Avenue intersection improvements. • I-205 pedestrian bridge extension to Sumner neighborhhod • Local street improvement LIDs and Green Street Connectors.

TURN/CENTER LANE

Eastside MAX 27 alternatives development 122nd avenue Max Station Context 122nd Avenue Station Area Community Framework Plan

Vision Statement Station Community Framework The 122nd Avenue/Ventura Park Station is Improvements to pedestrian mobility and catalyst poised to become a major center for retail, jobs, redevelopment opportunities are the primary and housing in East Portland, second only to the aspects of the framework plan. Pedestrian Gateway Regional Center in future development mobility will be improved by enhanced crossings potential. With high visibility and a central location, of and a larger network of redevelopment of the former park-and-ride lot neighborhood streets. Adding to the street brings new shops, services, jobs, and a plaza to network will also create a smaller block pattern the heart of the station in addition to parking. that will change development patterns around Large commercial properties that had served as the station. Catalyst development sites are auto retailers have redeveloped over time into a relatively large and publicly owned, providing the more intense format, with higher quality design opportunity for joint development as mixed-use that frees up space for more community-serving or commercial use. Specifi c elements of the plan businesses and housing. The station’s main streets include: - 122nd Avenue, Glisan, Stark, and Burnside - have improved streetscapes with wider sidewalks, • Improved pedestrian crossings of Burnside street furniture and improved street lighting, which Street. also improves pedestrian and community safety. • Master plan for neighborhood streets. Nearby residential areas continue to develop and • TriMet park-and-ride as a catalyst intensify, and the high quality of building design development site. and materials makes the area attractive to a wide • Multnomah County building as a catalyst array of households seeking an active, urban development site. environment. As redevelopment occurs throughout the station community, the local street network is improved to provide enhanced pedestrian and bicycle connections to the MAX station

28 Eastside MAX community framework

Eastside MAX 29 alternatives development 122nd avenue

Opportunity Site Concept Plan Opportunity Site Concept Plan Land Use Plan Opportunity Site Study for Redevelopment Evaluation and Analysis The overall objective is to develop 122nd Avenue The 122nd Avenue MAX Station park-and- The development program included build-to-suit as major commercial center and corridor. The ride lot is an underutilized site that creates the institutional uses and retail uses. Both uses shared land use and zoning issues were address in 2006 opportunity to develop the southeast corner the site development, parking, and building costs. as part of the 122nd Avenue Station Area Study. of 122nd Avenue and Burnside Street, while still Over a ten year period the uses showed a positive No changes to the comprehensive plan map are maintaining adequate parking capacity to meet rate of return but fell short of the targeted rate of recommended as part of this project. The current current demand. A mixed use building can activate return. zoning along 122nd Avenue is predominantly the MAX station by providing an urban plaza space Central Commercial (CX) and Storefront at the corner and a continuous row of retail space Community Input Commercial (CS) with 4:1 FAR and 100-foot along the frontage. The upper fl oors could be fl ex No public comments were recieved on the building heights permitted through the East offi ce space for a large institutional user. conceptual development plan. Corridor Plan District. The conceptual development program includes: Most public comments were focused on improving The high density residential areas surrounding the the safety and security of the MAX Station and station also have the Design (d) Overlay Zone in • 100,000 square feet of offi ce or institutional surrounding area. place as well as the East Corridor Plan District, space. which adds supplemental development standards. • 12, 000 square feet of retail space. • Two levels of structured parking for building tenants. • Retain approximately 50 percent of the existing park-and-ride spaces.

30 Eastside MAX land use plan

Zoning Alternatives

Eastside MAX 31 alternatives development 122nd avenue

Transportation Plan improved along Pine Street and 119th Avenue. Traffi c Sensitivity Findings There are two aspects to the transportation plan. Burnside Street has great potential as a major east- Traffi c sensitivity analysis was not done for this The fi rst addresses 122nd Avenue, specifi cally the west bicycle route through East Portland, especially station, since no comprehensive plan map changes intersection at 122nd Avenue/Burnside Street. given the lack of bicycle facilities on Glisan and were proposed. Pedestrian crossings are complicated by the Stark Streets. One major challenge is crossing the need to cross from the opposite corner from light rail tracks along Burnside Street, especially Community Input the park-and-ride lot to the westbound platform for bicyclists that want to travel east-west along Most of the public comments focused on the during the morning commute. Pedestrian signal Burnside Street. Currently, the existing crossings are Street Master Plan and the fi nancial burden of lead times, countdown signals, and signage can at 117th Avenue and 128th Avenue are more than local streets. Developers are concerned about the enhance the safety at this intersection. One long- a quarter mile apart, which when combined with impact to their project, both in terms of buildable term opportunity is redesign of the streetscape, the lack of east-west street connectivity can create land and street improvement costs. Homeowners especially to widen the sidewalks from 8 feet to the need for out-of-direction travel or potentially are seeking local street improvements to improve 15 feet with 7 foot right-of-way dedications as dangerous contrafl ow movements to get to the livability (pedestrian safety, drainage, parking), but adjoining properties develop. nearest crossing. New “Z” pedestrian/bicycle are concerned about the fi nancial cost of the crossings at 119th Avenue and a future 123rd improvements through an LID. The other transportation aspect is the lack of Avenue connection could relieve this situation and local street connectivity, which inhibits pedestrian create new north-south routes through the station and bicycle access to the station. A key tool will community. be a street master plan that identifi es new street connections that will be required concurrent with redevelopment in the area. These future connections provide additional north-south and east-west routes to and from 122nd Avenue and Burnside Street. Another challenge is the partially improved local streets that typically have unimproved shoulders and narrow pavement width. The City was successful in cost-sharing for some Local Improvement Districts to get streets

32 Eastside MAX transportation plan

Eastside MAX 33 implementation strategy 122nd avenue Commercial & Residential Uses Infi ll Residentail Infi ll Residentail Short-Term Actions Other Actions The recommended short-term actions are focused Improving public safety and security at the MAX on pursuing joint development opportunities station platforms and immediate surrounding area with TriMet on a park-and-ride lot. Identifi cation are critical to creating conditions that not only of an institutional user for the space is needed. boost MAX ridership, but are more conducive The City of Portland can play a role in facilitating to private investment and development. The City a partnership between institutional users looking of Portland should consider ways to facilitate for available space or sites and TriMet. Any future redevelopment that creates “eyes on the street” development will require working with TriMet to and other activity at the station. navigate the Federal Transit Adminstration approval process to allow for development of a portion of The Blue Line was constructed before public art the park-and-ride lot. was considered to be an essential part of the MAX stations. Public art also can help defi ne the Next Steps character of the station community. The City of Portland and TriMet should collaborate with the Comprehensive Plan and Zoning Map Regional Arts and Culture Council to install public Amendments art at the MAX station. None recommended at this time.

Supplemental Development Standards No adjustments to East Corridor Plan District have been identifi ed at this time.

34 Eastside MAX implementation strategy 122nd avenue

Transportation Improvement Projects New pedestrian/bicycle crossings along Burnside The transportation improvement projects will take a coordinated effort between TriMet will need to be implemented over time as and the City of Portland to plan, design, and fund opportunities arise, especially with creating new these improvements. These improvements could street connections. The top two priorities are be done in conjunction with additional streetscape pedestrian crossing enhancements along 122nd improvements (street trees and lighting) along Avenue especially at 122nd Avenue/Burnside Burnside. Street and the adoption of a master plan street plan as part of the next update to the TSP.

During the course of this planning project, the NE 122nd Avenue - Existing Conditions 122nd Avenue corridor has emerged as a future streetcar corridor. The potential for streetcar to leverage additional development along the corridor could be critical to transforming the 122nd Avenue corridor and will be a key consideration during the Portland Plan process. The streetcar potential also impacts the future confi guration of the street cross-section and reinforces the need to expand the sidewalk width through dedications as properties develop.

A Street Master Plan with an implementation strategy will need to address potential confl icts between the City’s street connectivity spacing standards and opportunities through potential redevelopment. The other part of the Street Master Plan should address an implementation strategy to creating funding support for street connections and improvements to create a complete street network in the station community.

Eastside MAX 35 alternatives development Max Station Context 148th & 162nd Avenue Station Areas Community Framework Plan

Vision Statement the neighborhoods to the north and south, and The 148th Avenue and 162nd Avenue MAX improve the sense of safety in the area. stations form a transit-focused neighborhood with a wide range of housing - from high-rise condos Station Community Framework to townhouses to single-family homes - that are Mixed use development should be focused at the affordable to a wide range of households. New two MAX station intersections. Intense, large-scale 148th & 162nd avenue 148th & 162nd housing development is most intense immediately commercial development should be focused along adjacent to the stations. Farther from the station, SE . Infi ll residential uses provide a wide new apartment buildings and townhomes have range of housing choices based on compatibility developed at somewhat lower scale with enclaves with design standards. The housing choices should of single-family homes. Overall, the residential include high-density and medium density housing. areas have a “green” feeling, with more landscaping High-density housing could be as intense as 7-10 and open space to improve compatibility with story buildings and medium-density housing the surrounding neighborhoods. New street and could be 3-4 story buildings. A critical factor for pedestrian connections in key locations help to infi ll redevelopment is new street connectivity provide direct access to the MAX station, while that creates a smaller block pattern and more limiting the impact of cut-through traffi c. Mixed use connectivity for neighborhood. Public investment developments with small-scale shops and services in the new street pattern should be considered have begun to emerge at 148th Avenue and 162nd as part of a strategy for encouraging the desired Avenue stations. The new mixed use development infi ll redevelopment. New street patterns could is complemented by streetscape improvements defi ne catalyst redevelopment sites. Improvements such as wider sidewalks and street lighting; to existing local streets should also be made, together they provide a prominent connection especially those leading directly to the existing to major commercial services along Stark Street, pedestrian crossings of Burnside Street. Plan and improve the sense of safety. Streetscape elements include: improvements on Glisan and Stark Streets also • Create a master plan for new streets and provide wider sidewalks, improved street lighting, possible public funding options. and key pedestrian crossings. These have provided • Improvements to sub-standard local streets. safer and more convenient pedestrian access to • Identify catalyst redevelopment sites Glendoveer Golf Course, Glenfair School, and

36 Eastside MAX community framework

Eastside MAX 37 alternatives development Opportunity Site Concept Plan Opportunity Site Concept Plan

Land Use Plan Infi ll development works best when density and Opportunity Sites for Redevelopment The proposed land use alternatives had building heights can transition from the most The concept plans studied potential for half- three components – encouraging mixed intense development at the station to less intense block redevelopment along 148th Avenue. The use development with commercial services development away from the station. plans also included the local street development immediately adjacent to the station; reinforcing to create a smaller block pattern throughout Stark Street as a major commercial node; and There is a need to provide a better transition the neighborhood. Both development schemes 148th & 162nd avenue 148th & 162nd improving the quality of infi ll development. with adjacent lower density areas found along the considered multi-family and mixed use residential edge of 143rd/Burnside, which provides an abrupt development. The conceptual development The current Commecial Mixed Use (CM) zoning change to R5 single-dwelling neighborhood. The programs include: on the southwest corner would be extended proposed action is to change the High Density • 72 and 54 residential units respectively. to the other three corners, which would enable Residential (RH) to Medium Density (R1), which • 1.500 square feet of groundfl oor retail for the commercial uses as an allowed use with housing will reduce the density by half and provide a mixed site. required to make it easier for a mixed use building better transition to single-family residential • 4 story buildings over a podium for parking. on these corner sites. neighborhood. Also, the East Corridor Plan District • Private plazas. includes development standards, which could • Building set-backs with landscaping along the Consolidating the Commercial Storefront (CS) include special setback and landscaping standards streets. zoning along Stark Street provides for a wider to create a softer, greener edge along the street. range of mixed use development. The Commercial These changes may help to maintain some of the Evaluation and Analysis Offi ce (CO2) zone strictly limits allowed uses, suburban character of the existing neighborhood. The zone changes from residential to commercial while the proposed CS zoning provides for more categories triggers consideration of the City’s No fl exibility with a wider range of allowed uses. For the most part, the portion of the 162nd Net Loss of Housing policy. The change at 148th The change from CO2 to CS would increase the Ave station community in the City of Portland is Avenue/Burnside to CM zoning is consistent with maximum FAR from 2:1 to 3:1, but the maximum developed consistent with the underlying zoning. this policy. The change on Stark Street from R2 to building height would remain the same. At the There is a pocket of fi ve lots on 160th Avenue CS could result in the loss of 24 units of housing 148th Avenue/Stark Street intersection, changing that is underutilized and zoned R2.5 which allows capacity. The change along 143rd Avenue from the Neighborhood Commercial (CN2) and R2 for townhouse type development. There is an RH to R1 is a more extensive change and could zoning to CS zoning would expand the mixed opportunity to upzone this area to R2, which result in the loss of over 450 units of development use development opportunities on key sites at would allow for a slight increase in density and capacity. This change would also create the this major intersection. The CS zone change could building height that might provide for a better potential liability for claims under Measure 49 that include application of the Design (d) Overlay Zone transition to the adjacent RH zoning. could still allow the current property owners to to improve the quality of the development. develop with higher density RH zoning. 38 Eastside MAX land use plan

Zoning Alternatives

Eastside MAX 39 alternatives development 148th & Stark 162nd/Glisan

Transportation Plan Traffi c Sensitivity Findings An important aspect of the transportation strategy Full build-out of the proposed zoning changes is strengthening the connection between the MAX allows acceptable intersections operations. No station and the commercial corridor on Stark mitigation measures would be required. Street. A “green connector” along 148th Avenue from Halsey to Glisan would provide for enhanced Community Input 148th & 162nd avenue 148th & 162nd landscaping along the sidewalks and center median Most public comments were focused on improving to provide a more inviting pedestrian environment. the safety and security of the MAX Station and surrounding area. Another important transportation issue is the lack of local street connectivity, which inhibits access From a land use policy perspective many would to the station. A key tool will be a street master like to see a reduction in density and improvement plan that identifi es new street connections that of the design quality of new development. will be required concurrent with redevelopment in the area. These future connections provide There were a number of concerns about the lack additional north-south and east-west routes. of off-street parking in some new developments Another challenge is the partially improved local and limited parking on unimproved streets. streets that typically have a narrow pavement width with unimproved shoulders. The incremental development will provide short segments of street improvement, but a program or strategy is needed to coordinate street improvements at a broader scale.

Burnside Street has existing pedestrian crossings at 146th and 151st Avenues that could form the basis for a network of north-south bike boulevards. There is also a need for pedestrian/bicycle improvements along Glisan and Stark streets.

40 Eastside MAX transportation plan

Eastside MAX 41 implementation strategy

New Development at Station Infi ll Residential Development Short-Term Actions The City of Portland and City of Gresham need to Comprehensive Plan and Zoning Map Next Steps continue to coordinate of enhancing connectivity Amendments Comprehensive Plan and Zoning Map around the 162nd Avenue Station. The recommended short-term actions include Amendments The Blue Line was constructed before public art most of the comprehensive plan map changes to No additional changes. was considered to be an essential part of the 148th & 162nd avenue 148th & 162nd encourage mixed use commercial development at the station and along Stark Street and the zoning MAX stations. Public art also can help defi ne the Supplemental Development Standards character of the station community. The City of change to provide a better transition along 143rd The changes to the East Corridor Plan District to Avenue. Portland and TriMet should collaborate with the address landscaping and private open space areas Regional Arts and Culture Council to install public will be incorporated into the Portland Plan process art at the MAX station. At 148th Avenue/Burnside, change the three • Consider adjustments to East Corridor Plan corners to Commercial Mixed Use (CM) to District to address landscaping and private encourage more mixed use/retail development The TriMet Electrical Substation at 148th Avenue/ open space areas Burnside is an opportunity site for an urban plaza immediately adjacent to station. The city • Add minimum front landscape setback in should explore other incentives to encourage bike station, or food cart to help activate the residential zones station area. redevelopmetn that creates “eyes on the street” • Create a building height setback to improve and other community activity at the station. the transition between the RH zone and adjacent lower density residential areas On Stark Street, consolidate the Storefront Commercial (CS) to encourage more mixed use/ Other Actions retail development between 143rd and 151st Improving public safety and security at the MAX Avenue. At the same time, apply the Design (d) station platforms and immediate surrounding area Overlay Zone to improve the quality of new are critical to creating conditions that not only development. boost MAX ridership, but are more conducive to private investment and development. The City Along 143rd Avenue, change the High Density of Portland, City of Gresham, and TriMet need to Residential (RH) to Medium Density (R1) to continue to collaborate to improve security at the provide better transition to adjacent single-family station platforms. residential neighborhood.

42 Eastside MAX implementation strategy 148th &162ndavenue

Transportation Improvement Projects Local Roadway Cross Section The top priority is continuing work on a Street Master Plan with an implementation strategy that will need to address potential confl icts between the City’s street connectivity spacing standards and opportunities through future redevelopment. The Street Master Plan needs to include an implementation strategy to creating funding support for street connections and improvements to create a complete street network in the station community.

The proposed bicycle boulevards on 146th and 151st Ave, as well as the future bike facilities on Stark and Glisan have been included in the Bicycle Master Plan update that will be adopted by the City Council in Fall 2009.

The 148th Avenue “green connector” enhancements from Halsey to Glisan transportation project will be incorporated into the next update of the Transportation System Plan project list.

Burnside Street is in need of streetscape improvements, such as street trees and pedestrian scale lighting, to enhance the route to the station.

Eastside MAX 43 Financial Feasibility for Station plan for high-quality development focused on a The fi rst two examples, capital improvements Area Development specifi c site where redevelopment could have a adjacent to TOD and parking management, have Transit-oriented development (TOD) has proven transformative effect. A private sector fi nancial the benefi ts of lower costs, but generally result in to increase the use of public transit and enhance viability analysis with a 10 year cash fl ow was less overall impact. Direct fi nancing, land assembly the livability for station communities from both a performed for each development concept. Current and site acquisition, and affordability measures social and economic perspective. However, there submarket area information and general real estate generally have a greater impact, but also require can be signifi cant challenges to fi nancing TOD. market trends were used. Based on that analysis, greater funding. These challenges often include: none of the development schemes are currently economically viable. Estimated economic values fall The Portland region presently has several fi nancial short of the estimated development costs and the local, state and federal tools to facilitate TOD. • Higher land costs in areas surrounding transit targeted rate of return of 15 percent. Portland Metro’s Transit-Oriented Development stations. and Centers Program offsets the higher costs • Signifi cant infrastructure investment in order A second fi nancial analysis was conducted with by purchasing TOD easements, and acquiring to support increased density. a 20 percent adjustment upward in the assumed and selling land near transit at reduced costs. In • Assemblage of numerous small parcels of land rents and leases and a 20 percent adjustment addition, the Safe, Accountable, Flexible, Effi cient to obtain a critical mass. downward in the assumed development costs. Transportation Equity Act: A Legacy For Users • Desire to replace surface parking with more The adjustments reduced the fi nancial gaps but still (SAFETEA-LU) expires September 30, 2009 expensive structured parking facilities. suggested that under current market conditions and there is growing momentum at the federal there may be signifi cant fi nancial challenges for level to treat transit-oriented development In order to overcome the challenges, there are high-quality station area development. The target more favorably when the surface transportation several direct and indirect fi nancial strategies that rate of return was still not met by any of the bill is reauthorized. At the state level, there can be pursued to facilitate the implementation development schemes. are several multi-family loan programs which of TOD. Indirect incentives often used to facilitate include tax-exempt bond fi nancing, as well as the development include fl exible zoning provisions The realization of TOD requires a combination of Predevelopment Loan Program which provides and detailed station area plans. Direct incentives near- and long-term efforts, and the use of best below-market fi nancing for site acquisition and include reduced development fees, expedited practices and innovative strategies. The following predevelopment costs for multi-family affordable development review, and team inspections to summarizes potential fi nancial strategies that can housing. streamline and reduced total costs for the review be utilized to implement TOD along the Eastside and permitting process. MAX transit stations. While the private real estate market tends to Capital Improvements • Examples include streetscapes, bicycle and pedestrian facilities and/or public be a primary driver in fi nancing development, utility and infrastructure upgrades implementation fi nancial feasibilty fi implementation Adjacent to TOD TOD often requires a public/private partnership. • Funded through grant awards to the local jurisdiction or through Capital These partnerships include transit agencies Improvement Program (CIP) bonds through joint development of publicly held land; local governments through TIF or other public Parking Management • Examples include fi nancing for transit passes and car sharing in exchange for Strategies allowing development to proceed with lower parking requirements investments; non-profi t development corporations • Funded through a grant or revolving loan to the local jurisdiction for investments in underserved areas; and metropolitan planning organizations who work Direct Financing • Examples include fi nancing for the infrastructure portions of development such as storm water, sewer, and utility improvements, or fi nancing the costs that result to shape regional land use and transportation from the increased density patterns through effi cient land use patterns. • Grant or revolving loan to the local jurisdiction and/or developer Each of these groups offers alternative fi nancing opportunities for TOD. Land Assembly & Site • Provides fi nancing for site acquisition and assembly and entitlements for Acquisition development projects with a medium term time horizon of fi ve to ten years • Grant or revolving loan to the local jurisdiction and/or developer Eastside MAX Development Opportunity Affordability • Funding the incremental cost increases of additional housing affordability Sites Investments measures This project considered six existing station • Grant to local jurisdiction and/or developer via redevelopment agencies or state communities. For each community a conceptual programs 44 Eastside MAX Utilizing multiple sources of funding for TOD Parkrose/Sumner Station - The development implementation fi nancial feasibilty projects may be necessary in many cases scheme is predominantly multifamily residential in a where the barriers to project development are single building with podium parking on two levels. high. However, streamlining zoning regulations, A small amount or retail space was included. The permitting, and other regulatory mechanisms are new building sits on the northern portion of an initiatives that will assist TOD without grant or loan exiting TriMet park-and-ride facility. Development investments. would provide replacement transit parking within the podium structure. The adjusted rate of return Summary Findings for the Opportunity Sites was approximately 2 percent. The principal factors that limited the fi nancial viability of the development schemes are prevailing 122nd Avenue Station- A single building with market rents that are too low, assumed costs for 105,000 square feet of space and two levels of high-quality development that are too high and a above-grade structured parking constitute the fi nancing environment that is currently not robust. development scheme. The building sits on the Offi ce uses performed better than residential uses. western portion of a TriMet park-and-ride facility. Even when an adjusted fi nancial analysis assumed Parking spaces lost to development were not as- rents increased by 20 percent and building costs sumed to be replaced within the building’s parking decreased by 20 percent that target rate of return structure. The programmed uses included ground was not achieved. The full fi nancial analysis is fl oor retail with institutional uses above. The adjust- available as a technical appendix to this report. It ed rate of return was approximately 9.5 percent. includes both the original analysis and an adjusted analysis. 148th Avenue Station - Two small sites were studied for residential development at four stories 60th Avenue Station - The development scheme over podium parking. One scheme assumed a included 500,000 square feet of Class A offi ce small amount of retail spaces. The adjusted rates of space, 450 housing units and small amount of return were approximately 2 percent and approxi- retail. Parking assumptions included two levels of mately 3.5 percent. below-grade parking for the offi ce uses. The overall scheme showed an adjusted rate of return of ap- proximately 12 per cent for the ten year period. That is still short of the targeted rate. When the housing component and offi ce component were analyzed separately the offi ce uses showed a higher rate of return than residential uses.

82nd Avenue Station - The one-block redevelop- ment scheme includes two offi ce towers providing 195,000 square feet of space along with a small retail building. Three levels of below-grade parking were assumed. The adjusted rate of return is ap- proximately 10 percent.

Eastside MAX 45