11-104758CITY OF
�. Federal Way
February 1, 2012
Mr. Jon Potter
Federal Way Village LLC
PO Box 73790
Puyallup, WA 98373
1__� FILE
CITY HALL
33325 8th Avenue South
Federal Way, WA 98003-6325
(253) 835-7000
www.cityoffederalway.com
RE: File #11-104758-00-AD; CONDITIONAL APPROVAL
Federal Way Village Extension Request, 33701 Pacific Hwy South, Federal Way
Dear Mr. Potter:
The Community and Economic Development Department has received your November 15, 2011, letter
requesting a two year extension to the Process III land use approval for the Federal Way Village proposal;
a 300,890 square feet development consisting of 156,290 square feet of commercial, 60,000 square feet of
general office space, 70,500 square feet of multi -family residential, and 14,000 square feet of restaurant
pads. The Federal Way Village was granted conditional approval for a two year extension, which is due to
expire on January 28, 2012. The time extension request is hereby granted approval subject to the
conditions listed below. This extension will expire on January 31, 2014 if no further action is taken.
EXTENSION CRITERIA
Pursuant to Federal Way Revised Code (FWRC) 19.15.110, "Lapse of Approval — Time Extension," the
director may grant a two year extension to the land use decision, subject to criteria. Your request
demonstrates that the applicant has made substantial progress to complete the project as the applicant has
nearly completed significant improvements of the first phase of the Master Plan, including road frontage
improvements to 336`h Street and 11,473 sf of right-of-way improvements. The City also agrees that the
economic climate has changed significantly since the time of the original approval and as such the
financial markets have not yet recovered, making it difficult to secure prospective tenants, which
constitutes circumstances beyond the applicant's control. The wooded site has not been cleared or graded;
there are no conditions that create a code violation or an attractive nuisance. The property is posted for
no -trespassing and is regularly checked by the Federal Way Police Department.
Physical conditions in the vicinity of the project have not been altered; however, as stated in the previous
extension the City has adopted new codes and standards that would affect project layout, storm drainage
design, impact fees, and concurrence capacity as discussed under FWRC 19.15.110(2)(d). Public Works
staff has identified specific mitigation to address criteria (2)(d) of FWRC 19.15.110, which are still
applicable to this approval letter.
CONDITIONAL APPROVAL
1. Stormwater quality treatment will be required on site and shall meet the standards that are in place at
the time a complete building permit is submitted.
2. In lieu of paying the SEPA pro-rata traffic mitigation of $1,048,700.00 for Phase I and Phase II
improvements, and prior to the issuance of a building permit, the applicant shall pay a Traffic Impact
Mr_ Potter
February 1, 2012
Page 2
Fee (TIF) as adopted by the City and applicable at the time. For estimation purposes the current TIF
fee for the shopping center (based on 230,400 sf) and the multi -family housing (based on 60 units) is
approximately $1,275,000.00 (current fee schedule enclosed.)
3. Should there be any subsequent extension request prior to the issuance of all the Process III related
building permits, the applicant may be required to submit for a concurrency permit as determined by
the Public Works Director.
CLOSING
Please do not hesitate to contact me at 253-835-2643 or isaac.conlen@cityoffederalway.com should you
have any questions about this letter.
Sincerely,
Isaac Conlen
Planning Manager
enc: TIF Handout and Fee Schedule
c: Kcnnith George, Planning Intern
Sarady Long, Senior Transportation Planning Engineer
Ken Miller, Deputy Director
1 1-104758 Doc. f D 60220
W
1
�7I 1 RECEIVED BY
�L� vOMMl1NITY DEVELOPMENT DEPARTMENT
NOV 17 2011
Federal Way Village, LLC
November 15, 2011
Patrick Doherty, Community and Economic Development Director
Isaac Conlen, Planning Manager
City of Federal Way
33325 8th Avenue South
Federal Way, Washington 98003
HAND DELIVERED
Re: Federal Way Village Master Plan Approval Extension Request
File No. 09-104582-AD; Process III Approval
33701 Pacific Highway South
Dear Patrick and Isaac:
Please accept our request for an extension to the Master Plan approval. Greg Fewins indicated in
his February 2, 2010 letter multiple two-year extensions may be granted, see attached letter. Our
Master Plan expires January 28, 2012 unless an extension is granted. The financial markets have
not recovered and as demonstrated in the City of Federal Way and throughout the Puget Sound
region few new private sector construction projects have been funded. Because of the strong
response we received from prospective tenants prior to the economic downturn and general good
response from potential tenants at the ICSC conferences in Las Vegas and San Diego, we expect to
see development on our site soon.- Significant progress has occurred since our last extension.
Significant improvements of the first phase of the Master Plan are nearing completion. *Road
frontage improvements to 336`" Street are nearly complete.: We dedicated 11,473 square feet to
accommodate the right-of-way improvements. Improvements include the following:
• Construction of curb cuts, intersections and signalization providing access from South 336th
Street to the Federal Way Village townhome and commercial projects.
• Constructed curb, gutter, sidewalk, landscaping and street lighting on South 336th Street
■ Stub out water mains from South 336th Street into the Federal Way Village property.
• Construction of retaining wall to avoid impacting the on -site wetlands.
In addition to the street and utility improvements, we have entered into negotiations with a
prospective tenant who would serve as an anchor type tenant by generating internal traffic volumes
necessary to attract other tenants to the project. We are on our third counteroffer with our
prospective tenant. If you have an interest, we would be happy to schedule a meeting with you and
our listing agent to answer any questions you may have regarding the prospective tenants we are in
discussions with for the first phase development.
As I mentioned above, project financing is very difficult to secure. Although we are working on
lease agreements with potential tenants for our first phase, it is still a challenge to secure the
3611 2 9 1 h Avenue West Seattle, Washington 98199
phone: (206) 579-0088 email: potter.nwp@gmail.com
necessary financing. The Local Revitalization Financing grant to reimburse the commercial road
construction was a godsend; however, it complicates the lending approval because it will take
approximately three years to receive the $1,200,000+ infrastructure cost reimbursement. That
initial cost will have to be part of the construction loan necessitating a larger first phase
development to offset the cost -side of our pro forma. In short, even with tenants in hand, it is still a
challenge to work through the funding process during these difficult financial times. We are
committed to push this project forward, but it will require your assistance to provide us with
sufficient time to work through the process.
Thank you for your consideration.
Sincere ,
Jon Potter
Attachments: Greg Fewins Letter of Febmary 2, 2010
3611 291h Avenue West Seattle, Washington 98199
phone: (206) 579-008 email: potter.nwp@gmail.com
CITY OF FEDERAL WAY
DEPARTMENT OF COMMUNITY DEVELOPMENT SERVICES
DEVELOPMENT REVIEW COMMITTEE TRANSMITTAL
DATE: December 6, 2011
TO: Ann Dower, Senior Engineering Plans Reviewer
Sarady Long, Senior Traffic Engineer
Scott Sproul, Plans Examiner
Brian Asbury, Lakehaven Utility District
Chris Ingham, South King Fire & Rescue
FROM: George
FOR DRC MTG. ON: December 15, 2011
FILE NUMBER (S): 11-104758-00-AD
RELATED FILE NOS.: 09-104582-00-AD, 07-100345-00-UP
PROJECT NAME: FEDERAL WAY VILLAGE EXTENSION REQUEST
PROJECT ADDRESS: 33701 PACIFIC HWY S
ZONING DISTRICT: CE
PROJECT DESCRIPTION: Second request for extension of Process III Decision.
PROJECT CONTACT: FEDERAL WAY VILLAGE LLC
JON POTTER
PO Box 73790
Seattle, WA 98199
(253) 848-0820
MATERIALS SUBMITTED:
• Letter dated November 15, 2011 from Jon Potter requesting extension,
along with the first letter granting Conditional Extension Approval.
• List of criteria to approve an Extension Request from FWRC
19.15.1010 (2) .