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File #: 24-0255    Version: 1
Type: Consent - Agreements Status: Agenda Ready
File created: 4/8/2024 In control: Orange City Council
On agenda: 4/23/2024 Final action:
Title: Agreement with MODassic Group, LLC for economic development services.
Attachments: 1. Staff Report, 2. Agreement with MODassic Group, LLC

TO:                                          Honorable Mayor and Members of the City Council

 

FROM:                     Tom Kisela, City Manager

                                           

                                          

                     

1.                     Subject

title

Agreement with MODassic Group, LLC for economic development services.

body

2.                     Summary

Agreement with MODassic Group, LLC to provide place branding and place making services for the West Katella Avenue area.

3.                     Recommended Action

recommendation

1.                     Approve the agreement with MODassic Group, LLC in the amount of $70,000 for economic development services; and authorize the Mayor and City Clerk to execute on behalf of the City.

2.                     Authorize the following budget transfer in the NW & SW Merged 2003 Taxable Bonds Fund (952):

From: 952.9810.56020.20247                                          SAORA Capital                                                      $70,000

To: 952.9810.51670.20541                                          West Katella District                                            $70,000

 

end

4.                     Fiscal Impact

The estimated expenditure for this agreement is $70,000 and will be funded through the NW & SW Merged 2003 Taxable Bonds Fund:

952.9810.51670.20541                     West Katella District                                                                                    $70,000

5.                     Strategic Plan Goals

Goal 2: Be a fiscally healthy community

b: Analyze future fiscal needs and potential revenue opportunities.

6.                     Discussion and Background

The West Katella Avenue area is bounded by the Santa Ana River on the west, the water channel on the south, Batavia Street on the east, and the properties on the northside of Katella Avenue on the north. Although the area is surrounded by industrial development on three sides, its close proximity to the Honda Center, Anaheim Regional Transportation Intermodal Center (ARTIC), and Santa Ana River create the potential to develop a visitor serving entertainment and hospitality district. Recognizing this development potential, several years ago the City Council re-zoned many of the properties in the area with an urban mixed-use zoning that provides flexibility for property owners to develop a mix of commercial, hospitality, and residential uses in response to market conditions.

Just across the Santa Ana River in Anaheim, development has begun on the OC Vibe project which will include the Honda Center and surrounding properties. This multi-billion-dollar development will be phased over several years and is currently slated to include multiple entertainment venues, restaurants, office spaces, public parks and trails, 1,500 housing units, and two hotels. In addition, the City of Anaheim is working with several partners including the City of Orange to develop the OC River Walk along the Santa Ana River between Ball Road and Orangewood Avenue. This project would transform the Santa Ana River into a regional destination for recreation and entertainment and include a pedestrian bridge across the river from OC Vibe to West Katella Avenue in Orange.

The City of Orange Economic Development Strategy includes creating a district that is complimentary to OC Vibe and OC River Walk in the West Katella Avenue area. Unlike OC Vibe, where one developer controls all of the properties in the development, the West Katella Avenue area is made up of dozens of properties with various property owners. Creating a vibrant, cohesive district will necessitate working closely with property owners and other stakeholders in a multi-step approach:

1.                     Visioning Process to develop a design concept and framework for the area.

2.                     Development Feasibility Analysis to provide an analysis of what types of development are economically feasible in the area.

3.                     Place Branding to develop a brand and marketing for the area.

4.                     Place Making to develop signage, street trees, and other aesthetic elements for the area.

The proposed agreement with MODassic Group, LLC (CivicBrand) would provide for economic development services to create a place brand and develop the brand identity for the West Katella Avenue area. As the City works with property owners and stakeholders to articulate a vision for the area, CivicBrand will work collaboratively to create a brand story and develop the necessary brand assets and placemaking implementation plan to realize that vision.

City staff solicited proposals from place branding firms for this effort and are recommending the selection of CivicBrand due to the strength of their proposal and relevant experience. If approved by City Council, the services will be provided in tandem with the visioning process for the area and will take approximately six months to complete.

7.                     ATTACHMENT

                     Agreement with MODassic Group, LLC