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17-105303CITY OF �. Federal Way February 13, 2018 F7-m J L :.— CITY HALL 33325 8th Avenue South Federal Way, WA 98003-6325 (253) 835-7000 www. cityoffederalway.. com Jim Ferrell, Mayor PJ McGuire email: piinrguire@cbbain.corn Coldwell Banker Bain Steel Lake Plat Group 207 W. Kent Station Street, Suite 105 Kent, WA 98032 RE: File No. 17-105303-AD — Steel Lake Crest Preliminary Plat Extension Request #2 30642 281h Ave S, Federal Way Dear Mr. McGuire: The Community Development Department has received your November 2, 2017 letter and additional information submitted to the City on January 8, 2018, requesting to extend the Steel Lake Crest preliminary plat approval for two additional years. The referenced application is a 28-lot preliminary plat granted approval by the city on April 7, 2009. Pursuant to RCW 58.17.140(3)(a), the preliminary plat approval was originally valid until April 7, 2016 (7 years following preliminary approval). A two-year time extension was approved by the City of Federal Way on January 26, 2016, and the preliminary plat approval is set to expire on April 7, 2018. The city's subdivision regulations allow the Community Development Director to administer extensions if criteria within Federal Way Revised Code (FWRC) 18.05.090(2) can be satisfied. Your request for a two-year extension to complete infrastructure improvements per the preliminary plat approval is conditionally approved, based on the information submitted to the City and subject to the conditions of approval listed below. CONDITIONS OF APPROVAL 1. In lieu of the pro-rata mitigation of $39,790.00, the applicant shall be required to pay the Transportation Impact Fee (TIF) in accord with applicable FWRC 19.91 requirements. 2. A new Transportation Concurrency application and review is required for any future Steel Lake Crest preliminary plat extension request. 3. In order to maintain consistency with regulations set forth in the city's National Pollution Discharge and Elimination System (NPDES) municipal stormwater permit, the applicant will be required to design a flow control and detention facility utilizing the 2016 KCSWDM and City of Federal Way Addendum to the 2016 KCSWDM. 4. All engineering plans must be submitted and approved prior to scheduling a pre -construction meeting and constructing plat infrastructure improvements. Please note: If substantial revisions to the approved site design and/or lot layout are required, a modification to the approved preliminarily plat will be necessary. A modification review fee will be collected when the modified drawings are submitted. Mr. McGuire February 13, 2018 Page 2 The shoreline exemption permit approved under file no 07-102533-SH will need to be evaluated for validity of time duration and project scope. Potential revisions to the sewer improvements identified in your January 2018 submittal may warrant a new shoreline permit application and the sewer improvements may necessitate a new shoreline substantial development permit application and review. TIME EXTENSION CRITERIA The following is an excerpt of the plat time extension criteria from FWRC 18.05.090. In the interest of clarity, staff reviewing the request has responded to each criterion using information provided by the applicant and relevant city policies justifying the extension approval. An extension request shall satisfy the following criteria in FWRC 18.05.090(2) to be approved: (a) Except for the first request for time extension, the applicant has made substantial progress to complete the plat; Staff Response — No physical progress has been made in designing or constructing plat infrastructure improvements; however, the applicant's agent has documented in his January 8, 2018, letter their active pursuit to find a buyer for the project. (b) There are circumstances beyond the applicant's control which prevent compliance with the time limits, or any previously granted extension; Staff Response — The applicant's agent has documented in his January 8, 2018, letter their active pursuit to find a buyer for the project. (c) The extension will not create or continue conditions that constitute a code violation or an attractive nuisance, contribute to erosion and sedimentation problems, or impact the public health, safety, and welfare. Staff Response — Site conditions have remained largely unchanged since the preliminary plat was granted approval. No code violations or erosion/sedimentation problems have been reported on the properties. Impacts to the public health, safety and welfare should not arise due to the extension approval. Staff finds this.criterion has been met. (d) Whether either physical conditions in the vicinity of the plat or codes and requirements of the city, applicable agencies, and utility providers have changed to such a degree since initial approval that it would be contrary to the public interest to extend the life of the plat. Staff Response — Staff finds criterion (d) has been met per responses noted below. (i) Whether the adoption of new codes and/or standards would substantially affect project layout and storm drainage design; Staff Response — The original application was vested to, and the project was designed under, the stormwater design criteria of the 1998 King County Surface Water Design Manual (KCSWDM). Since the date of preliminary plat approval, the City has adopted the 2016 KCSWDM. In order to maintain consistency with regulations set forth in the city's National Pollution Discharge and Elimination System (NPDES) municipal stormwater permit, the applicant will be required to design a flow control and detention facility utilizing the 2016 KCSWDM and City of Federal Way Addendum to the 2016 KCSWDM. Revised stormwater plans must be submitted and approved prior to scheduling a pre -construction meeting and constructing plat infrastructure. Implementation of the 2016 KCSWDM may impact project design, layout and lot count. 17-105303-00-AD Doe. LD. 77238 Mr. McGuire February 13, 2018 Page 3 (ii) The adequacy of mitigation and/or impact fees to address the cost of mitigation at the end of the expiration period; Staff Response — As part of the applicant's first preliminary plat extension approval dated January 26, 2016, a Transportation Concurrency application was submitted; subsequently, a Capacity Reserve Certificate was issued by the City on January 19, 2016. Also, subsequent to the applicant's 2009 preliminary plat approval, the city's method of mitigating new vehicle trips to the existing transportation network changed to a city-wide transportation impact fee (TIF). Transportation Impact Fee must be paid in accord with FWRC 19.91. (iii) Whether the delayed project is an impediment to other development projects in the vicinity as a result of traffic concurrency reserved capacity. Staff Response — At this time, the delayed project and extension request is not an impediment to other development projects. The Public Works Department has determ-ined that this requested extension is valid under Concurrency permit number 15-106453-CN. However, a new traffic concurrency application and application fees will be required for any future extension request. CLOSING Unless modified or appealed, this two-year extension of the preliminary plat will be valid until April 9, 2020. FWRC 18.05.090 permits extension opportunities that can be granted only if applicable criteria are met. Under FWRC 19.15.110(5), any person who is aggrieved by the granting of this decision may appeal as provided in FWRC 19 55.124. The appellant must file a letter of appeal indicating how the decision on the time extension affects the appellant's property and present any relevant material or information supporting the appellant's contention. The appeal will be heard and decided upon using Process IV. This extension does not constitute a technical review of the preliminary plat. The preliminary plat is subject to all applicable City of Federal Way codes and policies. Due to the length of the plat approval and extensions approved by the City, this may be the last time extension approved by the City unless the plat construction has significantly progressed. If you have any questions regarding this extension, please contact Jim Harris, Senior Planner, at 253-835-2652, orjim.harris@cityoffederalway.com. Sincerely` Brian Davis Community Development Director C. Jim Harris, Senior Planner Cole Elliot, Public Works Development Services Manager Sarady Long, Senior Traffic Engineer Kevin Peterson, Public Works Engineering Plans Reviewer Brian Asbury, Lakehaven Water and Sewer District, via email Doe I.D. 77238 17-105303-00-AD r A I N January 8, 2018 Jim Harris City of Federal Way 33325 81h Ave South Federal Way, WA 98003 RE: Steel Lake Crest Dear Jim, RESUBMITTED JAN 0 8 2018 CITY �M�,iLJNITY E ORAL V�AY 7 EYE�aFM3V Attached is information in response to your request to the owners of Steel Lake Crest, who are seeking a 2 year extension of the preliminary plat approval, to provide evidence of their endeavors over the years to find a buyer that would complete the plat and receive final engineering approval. As you will see by the attached material, they have been active in their pursuit to find a buyer. I sincerely hope you will see their efforts have been in good faith in trying to find a viable buyer for the project and grant them another 2 year extension of the preliminary plat approval so they can proceed to closing with the current offer that is in place. If you have any questions regarding the attached material, please contact me at your earliest convenience. Best regards,. PJ NYcGuire Coldwell Banker Bain 207 W. Kent Station Street, Suite 105 • Kent, Washington 98032 • 253-850-5000 • 253-850-5100 Fax CBBain.com 3 The Steel Lake Crest plat received preliminary approval on April 7, 2009 and since that time the 3 families (Woida, Elder & Trinidad) that own the 4 parcels that make up the plat have actively tried to find a builder/developer to finish the engineering and final approval for the project. Unfortunately there have been a variety of situations that have prevented them from accomplishing this. Due to the financial collapse of the overall market about the time the plat received preliminary approval, there were no builders/developers that could find financing for such a large project. The owners decided in March of 2014 to list the project (see attached printout) in the Northwest Multiple Listing Service (NWMLS). Due to their lack of knowledge and expertise in this area, they selected an agent that did not have the proper skills to market a project of this size. The list price was $2,300,000 (or $82,142 per lot) and the agent had not explained to them the process that builders/developers used to add the development cost to the land price to arrive a project that would be financially viable. That listing expired in April 2015 without ever receiving an offer from a prospective buyer. The owners listed the property (see attached printout) with Lori DeVore of Realogics Sotheby's Realty and PJ McGuire of Coldwell Banker Bain on May 12, 2015 for $1,960,000 (or $70,000 per lot). Marketing activity included placing the listing in the NWMLS, Commercial Brokers Association data base and LoopNet a worldwide database of listing. In addition, mailings and emails were directed to builders/developers/engineers in the Puget Sound area that were likely to be interested in project in the South King. Below is timeline of offers, acceptance and termination of purchase and sales agreement for Steel Lake Crest (along with copies of agreements for your information) : 1. On June 2, 2015 an offer from Harbour Homes was present in the amount of $1,260,000 and efforts to arrive at a price more in line with the listed price were unsuccessful. 2. Another offer was presented and accepted from Richmond Homes on November 11, 2015 for the list price of $1,960,000. After they conducted an initial feasibility study, they determine that the project was not financially feasible and the agreement was terminated by builder on December 7, 2015. J 3. On December 21, 2015, D41) Real Estate Development LLC submitted an offer for $1,960,000 and it was accepted. The offer included a closing date of June 1, 2016 subject to a feasibility study. The timeline for closing was extended several times (July 15, 2015; September 26, 2015 and December 20, 2016) as the developer work on the feasibility study to determine the cost of preparing the land for building and finding a builder to buy the finished lots to build homes on. After almost of year of working on the project, the developer was not able to find a way to pay for the development cost along with the land cost and have a project where a builder could provide homes at price point to make it financially feasible and the transaction was terminated on November 7, 2016. Part of the original feasibility study included the City of Federal Way granting a 2 year extension of the original preliminary plat that was set to expire on April 7, 2016 and that extension was granted. In addition to the above information on the plat, on September 16, 2016, one the owners died due to a tragic event. The remaining owners agreed to proceed with the offer in place after talking to a representative for the estate. The listing went off market on January 1, 2017, while representatives of the estate worked thru issues that were necessary to provide direction for the court overseeing the assets. The property was listed again (see attached printout) on May 12, 2017 at $1,680,000 ($60,000 per lot) and marketing continued in the NWMLS, CBA and contact with builders/developers/engineers. This price was selected with the additional information gained when it became obvious thru this year long process that the price to develop the lots were greater than what was first estimated by the listing agents. This included a marked increase in labor and material cost due to shortage of companies that provide this type of work and their commitment to other projects that were priced at a lower price point. 4. On October 26, 2017 a Letter of Intent was received from Richmond Homes with a provision that a full purchase and sales agreement would be drafted once the 3 owners received approval for a 2 year extension of preliminary plat from the City of Federal Way that is set to expire on April 9, 2018. Y In addition to on -site issues with this plat, Sound Transit has decided in the last year to run a line for the light rail system along the east side of the property. Even though Sound Transit has not had any formal discussion with the land owners, it is the understanding of the owners that Sound Transit would like to acquire a 10 foot temporary construction easement for their rail project (see attached map). According to an email obtained from Jim Harris, City of Federal Way planner, Sound Transit does not see any issues with extension of the preliminary plat approval (see attached email). Richmond Homes, the prospective buyer of Steel Lake Crest, is aware of the prospect that this temporary easement could be in place when they start construction. They feel once there is a formal agreement in place, they can work with Sound Transit and the City of Federal Way during their application of final engineering approval to design the temporary easement into the final plan. As you can see from the details above, the owners of the land for Steel Lake Crest have been diligent in their efforts to find a buyer that would finish the engineering and development of the plat. Their efforts have been in good faith and respectfully ask the City of Federal Way to grant a second 2 year extension of the preliminary plat so that they can complete the sale of the land. f- • _ L -r CITY OF FEDERAL WAY COMMUNITY DEVELOPMENT DEPARTMENT DEVELOPMENT REVIEW COMMITTEE TRANSMITTAL DATE: December 5, 2017 TO: Cole Elliott, Development Services Manager (for Kevin) Sarady Long, PW Traffic Division Brian Asbury, Lakehaven Water & Sewer District FROM: Jim Harris -FOR DRC MTG. ON: NA -Just email me or send me a memo with any comments FILE NUMBER(s): 17-105303-00-AD RELATED FILE NOS.: None PROJECT NAME: STEEL LAKE CREST Pre -Plat PROJECT ADDRESS: 30642 28TH AVE S ZONING DISTRICT: RS 7.2 PROJECT DESCRIPTION: Request for extension of plat approval. MATERIALS SUBMITTED: November 2, 2017 Cole and Sarday; We received a request for another extension of Steel Lake Crest Plat. The City approved a prior extension on January 26, 2017 (attached). See an email I got from Sound Transit also about this extension request. Do you have any comments/ conditions/questions. If any different regulations apply let me know how we can condition an extension approval. Is the 2015 concurrency still valid (15-106453 CN)? Send me an email or memo with your comments. Yes or no on extension? January 26, 2016 Steel Lake Plat Group 30642 28t' Avenue South Federal Way, WA 98003 RE: Permit #15-105805-00-AD; STEEL LAKE CREST 30642 28 b Ave S, Federal Way Dear Mr. McGuire: The Community Development Department has received your request to extend the preliminary subdivision approval granted to the Steel Lake Crest Plat for two additional years. The referenced application is a 29-lot plat granted approval by the city on April 7, 2009. Pursuant to RCW 58.17.140(3)(a), the preliminary plat approval is valid until April 7, 2016 (7 years following preliminary approval). The city's subdivision regulations allow the Director to administer extensions if criteria within Federal Way Revised Code (FWRC) 18.05.090(2) can be satisfied. Your request for a two-year extension to complete infrastructure improvements per the preliminary plat approval is conditionally approved, based on the responses to extension criteria presented to the director and the conditions of approval listed below. CONDITIONS OF APPROVAL 1. Applicant shall be required to pay the Transportation Impact Fee (TIF) in lieu of the pro-rata miti-ation of $39,790.00 as determined by the fee schedule in effect at the time of plat recording. For estimation purposes the current TIF fee (2016 rate) for a detached single family is approximately $3,829.78 ($3718.23 plus 3% admin) per lot. 2. In order to maintain consistency with regulations set forth in the city's National Pollution Discharge and Elimination System (NPDES) municipal stormwater permit, the applicant will be required to design a flow control and detention facility utilizing the 2009 KCSWDM and City of Federal Way Addendum to the 2009 KCSWDM. Revised stormwater plans must be submitted and approved prior to scheduling a pre -construction meeting. Please note: if substantial revisions to the approved site design and/or lot layout are required, a modification to the approved preliminarily plat will be necessary. A modification review fee will be collected when the modified drawings are submitted. TIvm EXTENSION CRITERIA The following is an excerpt of the plat time extension criteria from FWRC 18.05.090. In the interest of clarity, staff reviewing the request has responded to each criterion using information provided by the applicant and relevant city policies justifying the extension approval. An extension request shall satisfy the following criteria to be approved: Mr. McGuire January 26, 2016 Page 2 FWRC 18.05.090 (2) (a) Except for the first request for time extension, the applicant has made substantial progress to complete the plat, - Staff Response — This is the applicant's first request. Staff finds criterion (a) has been met. (b) There are circumstances beyond the applicant's control which prevent compliance with the time limits, - Staff Response — The recent economic recession, along with the possibility of Sound Transit developing light rail through the property, have prevented the development of the proposed lots. Such circumstances are beyond the applicant's control; therefore, staff finds criterion (b) has been met. (c) The extension will not create or continue conditions that constitute a code violation or an attractive nuisance, contribute to erosion and sedimentation problems, or impact the public health, safety, and welfare. Staff Response — Site conditions have remained unchanged and unimproved since the development was granted approval; therefore, code violations, attractive nuisances, erosion/sedimentation problems, and impacts to public health, safety, and welfare should not arise due to the extension approval. Staff finds criterion (c) has been met. (d) Whether either physical conditions in the vicinity of the plat or codes and requirements of the city, applicable agencies, and utility providers have changed to such a degree since initial approval that it would be contrary to the public interest to extend the life of the plat. Staff Response — Staff finds criterion (d) has been met per responses noted below. (i) Whether the adoption of new codes and/or standards would substantially affect project layout and storm drainage design; Staff Response — The original application was vested to, and the project was designed under, the stormwater design criteria of the 1998 King County Surface Water Design Manual (KCSWDM). On February 16, 2010, the City adopted the 2009 KCSWDM. In order to maintain consistency with regulations set forth in the city's National Pollution Discharge and Elimination System (NPDES) municipal stormwater permit, the applicant will be required to design a flow control and detention facility utilizing the 2009 KCSWDM and City of Federal Way Addendum to the 2009 KCSWDM. Revised stormwater plans must be submitted and approved prior to scheduling a pre -construction meeting. (h) The adequacy of mitigation and/or impact fees to address the cost of mitigation at the end of the expiration period, Staff Response — The application was submitted and deemed complete prior to Concurrency, and therefore was exempt from any pro-rata shares. Subsequent to the applicant's subdivision approval, the city's method of mitigating new vehicle trips to the existing system was changed to a city-wide transportation impact fee. Following the recent request for a preliminary subdivision approval extension, a Concurrency application was submitted; subsequently, a Capacity Reserve Certificate was issued. The impact fee will be assessed and due to the city at time of plat recording. For estimation purposes, the 15-105805 Duc,ID 71436 1 O sp •; Rip cl o O a N k N eR41a N I -r 4 a ��� �i � � j �y i i c i i � �o i i fi� •; `� � ell 4 $$ A S 1 f -- � .. :{ � � � � g ! �•�k �! j - _ _ � Bq 5 �pa� coo �g� � �� 4 m q i I° t rn _ m PRO i •� �' -� %` L_ - Jr _ — - Z Ai ; .� i d. R� Gf Q 70 n r i � r •�J I j i 1 1 i t —_ I � Q-n m i �; ! o f I 11 f l I I !! Qca in 5 d q c I r I f r f I p I J rn I f r I IA ! r Z i'r1i77 I o I ='o ,� p II I IN AJill � Z q i r s Z IL r - r� a -r_� •- —.-- Nil --91 4 .: p S S N o rm . m N N is m a m K -. v N 00 r _ '5 t� b 'D 9 n F p� o Jill > A i s 33� > m _ �� O e r 9 y 31 f�� S � m -� m m. Riiiij -O 01 a 0 Ci a co In o$ E$ M. gill > O z m rn c o y e m� 1 �- 11 a AEI $J� r- i m � m cq yce > ... p Fla • a � =��s � m I I war x y wwwwa � STEEL LAKE CREST 'r u . , MUMMARY PLAT s....... 1k SITE PLAN m'c a I j pey w a. �e BrcKB PLAT fBiOUP IkBIf/IIIBi ei LAua .n..w..cc .•a+w rn.aao �.mu. owx.sw/ n m e� .on ,w...w oS@ Egg Jim Harris From: Eskenazi, Zachary <Zachary.Eskenazi@soundtransit.org> Sent: Monday, December 04, 2017 12:52 PM To: Jim Harris Subject: RE: Preliminary Plat in Federal Way, Hello Jim - The FWLE project is impacting 3 of those properties. We will need temporary construction easements for the following properties: 092104 9096 092104 9182 092104 9183 We will not impact the following property: 092104 9161 The temporary construction easements will likely be negotiated for the duration of construction which is currently planned to begin in 2019 and conclude in 2024. These TCE's would impact a small portion located on the back of the property boundary with the WSDOT right-of-way where the light rail is being constructed. We don't see any issue with the time extension being requested for those plats. We will just need to be able to construct the project along the backs of those properties without interference. Please let me know if I can help answer any other questions. Regards, Zac Zac Eskenazi Community Outreach Specialist Sound Transit 206-903-7178 From: Jim Harris [maiito:Jim.Harris ci offederalwa .com] Sent: Tuesday, November 28, 2017 1:58 PM To: Eskenazi, Zachary <Zachary.Eskenazi@soundtransit.org> Subject: Preliminary Plat in Federal Way Zachary: ---11 ,--'i Y RECEIVED REQUEST FOR ADMINISTRATIVE DECISION CITY OF -yd " � DEPARTMENT OF CommuNITY DEVELOPMENT NOV 1 3 2015 33325 8" Avenue South Federal Way Federal Way, WA 98003-6325 CITY OF FEDERAL WAY 253-835-2607; Fax 253-835-2609 CDs www.cit)(offederalwgy_com FILE NUMBER - Date Applicant FAME sur'INESSIORGAV TION j�,.f . �� ��u r �c�c- � r. t � cv �;.� J=C� r✓ �� �rl-s r�• MAILING ADD"- ' 3c �4 i 2 T PRIMARY PHONE L f W'•'I = F % •� 4J ALTERNATE PHONE CITY STATE ZIP FAX 3 C f- c.� LJFfL� CX-4J1 Property Adressll ocation 1 '1 c _ .?G6/cr, 3� Description of Request -'%T- List(Describe For Staff Use ❑ Code Interpretation/Clarification - No Fee ❑ Critical Areas Letter/Analysis/Peer Review - No Fee (Actual Cost if Applicable) ❑ Request for Extension (Land Use/Plat Approval) - $62/hour ❑ Revisions to Approved Permit - $62/hour ❑ Tree Removal - No Fee ❑ Work Hours Variance - $62/hour ❑ Zoning Compliance Letter - $100 Bulletin 4079 — September 10, 2015 Page 1 of 1 k.\Handouts\Request for Administrative Decision Mr. McGuire January 26, 2016 Page 3 current TIF fee (2016) rate for a detached single family is approximately $3,829.78 ($3718.23 plus 3% admin) per lot. CHI) Whether the delayed project is an impediment to other development projects in the vicinity as a result of traffic concurrency reserved capacity. Staff Response — The Public Works Department has determined the delay of an additional two years will require a concurrency application to be submitted. This analysis will determine if capacity still exists to accommodate the project trips. In the event that there is not adequate capacity, the applicant may be required to construct whatever mitigation measures are necessary to obtain the adopted Level of Service (LOS) at any failing intersections. CLOSING This two-year extension approval expires April 9, 2018, or two years following the expiration of the approved preliminary subdivision. Please be advised that unless a future extension is granted, Steel Lake Crest Plat shall be completed per conditions of preliminary approval and this extension, or the subdivision shall expire by limitations set forth in FWRC 18.30.260. If you have any questions regarding this extension, please contact Cory Darrow, Planning Intern, at 253-835-2622, or cory.darrow@cityoffederalway.com. Sincerely, Michael A. Morales Community Development Director C. EJ Walsh, Public Works Sarady Long, Public Works Cory Darrow, Community Development 15.105BOS Doc 1 D. 71436 I A I N January 8, 2018 Jim Harris City of Federal Way 33325 811' Ave South Federal Way, WA 98003 RE: Steel Lake Crest Dear Jim, JAN 0 8 2018 Pm U UOFFr yF; EOM M Attached is information in response to your request to the owners of Steel Lake Crest, who are seeking a .2 year extension of the preliminary plat approval, to provide evidence of their endeavors over the years to find a buyer that would complete the plat and receive final engineering approval. As you will see by the attached material, they have been active in their pursuit to find a buyer. I sincerely hope you will see their efforts have been in good faith in trying to find a viable buyer for the project and grant them another 2 year extension of the preliminary plat approval so they can proceed to closing with the current offer that is in place. If you have any questions regarding the attached material, please contact me at your earliest convenience. Bereg�ar�s Pi cGuire Coldwell Banker Bain 207 W. Kent Station Street, Suite 105 • Kent, Washington 98032 • 253-850-5000 • 253-850-5100 Fax CBBain.com The Steel Lake Crest plat received preliminary approval on April 7, 2009 and since that time the 3 families (Woida, Elder & Trinidad) that own the 4 parcels that make up the plat have actively tried to find a builder/developer to finish the engineering and final approval for the project. Unfortunately there have been a variety of situations that have prevented them from accomplishing this. Due to the financial collapse of the overall market about the time the plat received preliminary approval, there were no builders/developers that could find financing for such a large project. The owners decided in March of 2014 to list the project (see attached printout) in the Northwest Multiple Listing Service (NWMLS). Due to their lack of knowledge and expertise in this area, they selected an agent that did not have the proper skills to market a project of this size. The list price was $2,300,000 (or $82,142 per lot) and the agent had not explained to them the process that builders/developers used to add the development cost to the land price to arrive a project that would be financially viable. That listing expired in April 2015 without ever receiving an offer from a prospective buyer. The owners listed the property (see attached printout) with Lori DeVore of Realogics Sotheby's Realty and PJ McGuire of Coldwell Banker Bain on May 12, 2015 for $1,960,000 (or $70,000 per lot). Marketing activity included placing the listing in the NWMLS, Commercial Brokers Association data base and LoopNet a worldwide database of listing. In addition, mailings and emails were directed to builders/developers/engineers in the Puget Sound area that were likely to be interested in project in the South King. Below is timeline of offers, acceptance and termination of purchase and sales agreement for Steel Lake Crest (along with copies of agreements for your information) : 1. On June 2, 2015 an offer from Harbour Homes was present in the amount of $1,260,000 and efforts to arrive at a price more in line with the listed price were unsuccessful. 2. Another offer was presented and accepted from Richmond Homes on November 11, 2015 for the list price of $1,960,000. After they conducted an initial feasibility study, they determine that the project was not financially feasible and the agreement was terminated by builder on December 7, 2015. 3 3. On December 21, 2015, D4D Real Estate Development LLC submitted an offer for $1,960,000 and it was accepted. The offer included a closing date of June 1, 2016 subject to a feasibility study. The timeline for closing was extended several times (July 15, 2015; September 26, 2015 and December 20, 2016) as the developer work on the feasibility study to determine the cost of preparing the land for building and finding a builder to buy the finished lots to build homes on. After almost of year of working on the project, the developer was not able to find a way to pay for the development cost along with the land cost and have a project where a builder could provide homes at price point to make it financially feasible and the transaction was terminated on November 7, 2016. Part of the original feasibility study included the City of Federal Way granting a 2 year extension of the original preliminary plat that was set to expire on April 7, 2016 and that extension was granted. In addition to the above information on the plat, on September 16, 2016, one the owners died due to a tragic event. The remaining owners agreed to proceed with the offer in place after talking to a representative for the estate. The listing went off market on January 1, 2017, while representatives of the estate worked thru issues that were necessary to provide direction for the court overseeing the assets. The property was listed again (see attached printout) on May 12, 2017 at $1,680,000 ($60,000 per lot) and marketing continued in the NWMLS, CBA and contact with builders/developers/engineers. This price was selected with the additional information gained when it became obvious thru this year long process that the price to develop the lots were greater than what was first estimated by the listing agents. This included a marked increase in labor and material cost due to shortage of companies that provide this type of work and their commitment to other projects that were priced at a lower price point. 4. On October 26, 2017 a Letter of Intent was received from Richmond Homes with a provision that a full purchase and sales agreement would be drafted once the 3 owners received approval for a 2 year extension of preliminary plat from the City of Federal Way that is set to expire on April 9, 2018. Y In addition to on -site issues with this plat, Sound Transit has decided in the last year to run a line for the light rail system along the east side of the property. Even though Sound Transit has not had any formal discussion with the land owners, it is the understanding of the owners that Sound Transit would like to acquire a 10 foot temporary construction easement for their rail project (see attached map). According to an email obtained from Jim Harris, City of Federal Way planner, Sound Transit does not see any issues with extension of the preliminary plat approval (see attached email). Richmond Homes, the prospective buyer of Steel Lake Crest, is aware of the prospect that this temporary easement could be in place when they start construction. They feel once there is a formal agreement in place, they can work with Sound Transit and the City of Federal Way during their application of final engineering approval to design the temporary easement into the final plan. As you can see from the details above, the owners of the land for Steel Lake Crest have been diligent in their efforts to find a buyer that would finish the engineering and development of the plat. Their efforts have been in good faith and respectfully ask the City of Federal Way to grant a second 2 year extension of the preliminary plat so that they can complete the sale of the land. 2 Lakehaven 3+iOTE: Lakehaven Water and Sewer East Steel Lake Area District neither warrants nor guarantees the accuracy of any facility information 0 300 600 provided. Facility locations and conditions are subject to field verification. Feet 9/29/2017 BIA Steel Lake Crest Group Elder, Woida and Trinidad 30642 28`" Ave S Federal Way, WA 98003 Property Location: Steel Lake Crest Preliminary Plat File No: 07-103897-00-SU 30614, 30646 & 30642 28th Ave S Federal Way, WA 98003 Submitted by P.J. McGuire, Coldwell Banker Bain, representing the owners as one of the listing agents for the marketing of the plat. The preliminary plat was approved April 7, 2009, which was at the start of a substantial downturn in the real estate market in the Federal Way area. At that time the prices did not support a reasonable value for the cost and efforts that the 3 owners had incurred. In addition, the Regional Transportation/Sound Transit organization considered the proposed plat as one of the corridors for their long term light rail plan and the owners could not move forward with an acceptable offer until a final plan was approved a few months ago and eliminated the property from their plan. The plat has been listed in the Northwest Multiple Listing Service (NWMLS) database with a license real estate agent since March of 2014. The owners recently signed an acceptable offer from a builder. One of the requirements of that offer is to have the timeframe for the preliminary plat extended so the builder has a reasonable amount time to prepare final engineering drawings and apply for approval from the City of Federal Way. P.J. McGuire Vacant Land Agent Detail Report Page 2 of 2 Listing # 596424 30642 28th Ave S, Federal Way 98003 STAT: Expired LP: $2,300,000 County: King LT: BLK: CMTY: Federal Way ' `' i . • �` ��� :' - PRJ: Steel Lake Crest Type: Vacant Land CDOM: 382 AR: 110 TAX: 0921049182 OLP: $2,300,000 .M MAP: 745 GRID: C-2 Internet: Yes L= DID: From Pacific Highway South, East FIN: .4i on 304th ST and South on 28th Ave S. The LD: 03/17/2014 ' plat lies east of 28th Ave S, between 306th XD: 04/02/2015 and 308th• ST S. OMD: 04/02/2015 #w � �T Ltfr7 LAG: Suzanne Cheney (37555) PH: (253) 740-4168 FAX: (253) 480-3243 PH Type: Direct Line LO: Berkshire Hathaway HS NW (1790) PH: (253) 946-4000 - , SOC: 3 Cmnts: _ - CLA: PH: ZJD: City SKS: Yes CLO: PTO: Yes F17: Provided ZNR: QTR/SEC: OTVP: OWN: See Attached GZC: Residential OPH: (253) 946-3154 OAD: Federal Way POS: Negotiable TX$: TXY: 2014 SNR: No ATF: See Remarks TRIM: Cash Out, Conventional TER: STY: 41 - Res -Over 1 Acre WRJ: City Right of First Refusal: No ACR: 6.770 LSF: 294,901 LSZ: WFG: DOC: See Remarks WFT: LDE: Paved Street VEW: Lake, Mountain HOA: RD: RDI: County Maintained IMP: FTR: Brush, Evergreens, Lightly Treed TPO: SLP: LVL: Community Features: WTR: Available SFA: ESM: GAS: Available STD: SUR: ELE: Available SDA: SST: SWR: Available SDI: SDD: SDX: SD: Federal Way EL: Wildwood Elem JH: Sacajawea Jnr High SH: Federal Way Snr High 3rd Party Aprvl Req: None Bank/REO Owned Y/N: No Agent Only Remarks: Reports available upon request. Thank you. Marketing Remarks: Opportunity for a builder/developer to purchase 28 residential lots in the Steel Lake Community. Preliminary plat approved, Federal Way File No. 07-103897-00 SU. Each lot is at least 7,200 sg. ft. Steel Lake Park is the designated park for this plat, there will be no need for an additional park/play area inside the plat. The engineer that did the preliminary work is available to complete the project. Three homes currently occupied on the property that will need to be moved or torn down. Information Deemed Reliable But Cannot Be Guaranteed. Lot Sizes and Square Footage Are Estimates. 12/07/2017 - 11:34AM P.J. McGuire r—) Vacant Land Agent Detail Report Page 1 of 2 ,i Listing # 786114 ZJD: City ZNR: RS 7.2 GZC: Residential 30642 28th Ave S , Federal Way 98003 STAT: Expired LP: $1,960,000 County King LT: BLK: CMTY: Steel Lake PRJ: Type: Vacant Land CDOM: 650 AR: 110 TAX: 0921049182 OLP: $1,960,000 MAP: 745 GRID: C-2 Internet: Yes DID: From S 320th St go north on 23rd FIN: Ave S (McDonalds on comer) to S 312th St. LID: 05/1212015 Turn right until 28th Ave S and then turn XD: 12131/2016 left to property on east side of street. OMD: 12/31/2016 SKS: Yes QTR/SEC: LAG: P.J. McGuire (338) FAX: (253) 850-5100 LO: Coldwell Banker Bain (1048) SOC: 2.5 Cmnts: CLA: Lori A. DeVore (7337) CLO: Realogics Sotheby's Int'I Rlty OTVP: OPH: (253) 653-6668 POS: Negotiable PH: (206) 595-8933 PH Type: Cellular PH: (253) 850-5000 x5016 PH: (253) 332-8354 PTO: Yes F17: Not Provided OWN: Elder,Trinidad,Woida OAD: Federal Way TX$: TXY: SNR: ATF: TRM: Cash Out TER: STY: 41 - Res -Over 1 Acre WRJ: Riaht of First Refusal: ACR: 6.720 LSF: 292,723 LSZ: WFG: DOC: Drainage, Geotech, Topographical, See Remarks WFT: LDE: Paved Street VEW: Lake HOA: RD: RDI: Paved IMP: FTR: Brush, Comm. Grade Timber, Lightly Treed, Partially Cleared TPO: Level, Sloped SLP: LVL: Community Features: WTR: In Street SFA: ESM: GAS: In Street STD: SUR: ELE: In Street SDA: SST: SWR: In Street SDI: SDD: SDX: SD: Federal Way EL: JH: SH: 3rd PartyAprvl Req: None Bank/REO Owned Y/N: No Agent Only Remarks: Contact list agents Lori Devore 253.332.8354 Realogics Sotheby's or PJ McGuire 206.5959.8933 Coldwell Banker Bain for info packet on preliminary plat approved by Federal Way. 3 different property owners combined to form plat. Rainier Escrow #683318 Marketing Remarks: Located in Federal Way, this 6.72 acres has received preliminary plat approval for a subdivision in an area zoned Single -Family Residential — RS7.2 allowing for variety of home styles. Incredible easy access to I-5, Hwy 167, Hwy 18 and the mass transit bus terminal as well as the Sounder train in Auburn. In addition, major shopping, entertainment opportunities and parks with beach/play grounds are within walking distance for potential homeowners. Information Deemed Reliable But Cannot Be Guaranteed, Lot Sizes and Square Footage Are Estimates. 12/07/2017-11:34AM P.J. McGuire Vacant Land Agent Detail Report Page 1 of 1 Listing # 1119909 306 XX 28th Ave S , Federal Way 98003 STAT: Pending Feasibility LP: $1,680,000 County Kina LT: BLK: CMTY: Steel Lake ZJD: City ZNR: RS 7.2 GZC: Residential SKS: Yes QTR/SEC: ACR: 6.720 LSF: 292,723 LSZ: DOC: Drainage, Geotech, Topographical, See Remarks WFT: VEW: Lake HOA: RD: RDI: Paved IMP: PRJ: Type: Vacant Land CDOM: 171 AR: 110 TAX: 0921049161 OLP: $1,680,000 MAP: 745 GRD: C-2 Internet: Yes DD: From S 320th St go north on 23rd FIN: Ave S (McDonalds on corner) to S 312th St. LD: 05/08/2017 Turn right until 28th Ave S and then turn XD: 04/10/2018 left to property on east side of street. No OMD: 10/25/2017 sign on prope T �Q9 Ll1r7P4? MO-dur LAG: P.J. McGuire (338) PH: (206) 595-8933 FAX: (253) 850-5100 PH Type: Cellular LO: Coldwell Banker Bain (1048) PH: (253) 850-5000 x5016 SOC: 2.5 Cmnts: CLA: Lori A. DeVore (7337) PH: (253) 332-8354 CLO: Realogics Sotheby's Int'I Rlty PTO: Yes F17: Not Provided OTVP: OWN: Elder,Trinidad,Woida OPH: (253) 653-6668 OAD: Federal Way POS: Negotiable TX$: TXY: SNR: ATF: TRM: Cash Out TER: STY: 41 - Res -Over 1 Acre WRJ: Right of First Refusal: WFG: LDE: Paved Street FTR: Brush, Comm. Grade Timber, Lightly Treed, Partially Cleared TPO: Level, Sloped Community Features: SLP: LVL: WTR: In Street SFA: ESM: GAS: In Street STD: SUR: ELE: In Street SDA: SST: SWR: In Street SDI: SDD: SDX: SD: Federal Way EL: JH: SH: 3rd PartyAprvl Req: None Bank/REO Owned Y/N: No Agent Only Remarks: Contact list agents Lori Devore 253.332.8354 Realogics Sotheby's or PJ McGuire 206.5959.8933 Coldwell Banker Bain for info packet on preliminary plat approved by Federal Way. 3 different property owners combined to form plat. Rainier Escrow #683318. Marketing Remarks: Demand for new homes continues at all-time high. Steel Lake Crest is a 28 lot prelim approved plat opportunity to be part of the Federal Way economic development. Performing Arts & Conf Center in August'17 along w/beautiful lakes, parks, Puget Sound waterfront and strong city management encouraging business and health care sectors to locate here. Nearby bus service, 2 libraries, sports fields, Aquatic Center, farmers market, theater and FW Symphony. Light rail service in 2024. Information Deemed Reliable But Cannot Be Guaranteed. Lot Sizes and Square Footage Are Estimates. 12/07/2017 - 11:46AM -^a RECEIVED REQUEST FOR ADMINISTRATIVE DECISION CITY OF NOV 0 �017 DEPARTMENT OF CommumrY DEVELOPMENT Federal; Way 33325 8`h Avenue South CITY OF FEDERAL WAY Federal Way, WA 98003-6325 COMMUNITY DEVELOPMENT 253-835-2607; Fax 253-835-2609 www.cityoffedealway.com kFILE NUMBER —L - o _a 3 03, _ Date � I 2-0 1 Applicant _ h FATM-S� 1 / , LI4 PMMARY PHONE w , RVOMESSIORGANWATI N _ C p 1- _ �{ ALTERNATE PHONE MALMINGADDRESS � �.I%OV1 Sri 3 I'�`d �� CITY aj w STATE - ZIP D Z"3 F Property Address/Locatio ®-1 - 40 3% q -1 - 6-0 -�5 - Description of Request�" e T L 12b- N-Ah.neQ,t - roQA0Iaj - VC For Staff Use ❑ Code Interpretation/Clarification ❑ Critical Areas Letter/Analysis/Peer Review ❑ Request for Extension (Land Use/Plat Approval) ❑ Revisions to Approved Permit ❑ Tree Removal ❑ Zoning Compliance Letter No Fee - No Fee (Actual Cost if Applicable) Check Current Fee Schedule Check Current Fee Schedule No Fee - Check Current Fee Schedule Zuary 4, 2016 Page 1 of 1 kAHandouts\Request for Administrative Decision