On the evening of Aug. 20, 2024, my bike and a few cars were the only vehicles parked on the so-called Penney’s lot, one of three parcels the city may sell.
One or more of three city-owned parking lots on Albany’s Water Avenue may be sold for construction of apartments or other multi-unit buildings, but it will be some time before anything is actually built.
It was a year ago, in September 2023, that the city council authorized the staff to negotiate an option agreement with Obie Companies, of Eugene. The agreement would give Obie the option to buy three parcels: the former Penney’s lot, the lot between the Eagles lodge and the Ellsworth Street Bridge, and the lot between the Ellsworth and Lyon Street bridges.
The agreement now is in place. City Manager Peter Troedsson told me the option price for the three parcels is $1,710,000.
I had asked him about the status of the Obie transaction. Here’s his email in response:
“As part of the option agreement, prior to execution of the option, Obie will be required to enter into a development agreement in which the City and Obie negotiate the details of the development. The development agreement will spell out specific development requirements, timeframes, etc. (Development agreements can be used to outline and guarantee requirements over and above what could normally be required through the development code.)  For example, a DA could require the creation of offsite parking solutions which could have public benefit beyond the impacts of their development. Obie is looking at parking solutions as part of their due diligence. The option agreement term is set to expire 18 months after the implementation of a MUPTE (multi-unit property tax exemption). Establishment of a MUPTE is part of our Housing Implementation Plan, and staff are actively working on that component.”
This past March, the council gave city officials the go-ahead to develop the tax exemption program for apartment projects. Under this MUPTE program, as allowed by state law, an exemption can last for up to 10 years.
Troedsson says his goal is to have the tax exemption program established by the spring of 2025, with approval of a development agreement with Obie by the following fall or winter.
That probably takes us to early 2026.
After that, it will take some time to implement whatever the development agreement calls for. Arrangements for a parking structure, for instance, let alone its construction, would probably consume another two or three years.
Nothing is known publicly about what if any plans Obie has for any or all three of the parcels covered by the option agreement, or indeed if the company will go ahead with a development at all.
But for now, it looks like nothing new will happen on those parking lots for at least a couple years. (hh)
Oh! Good! The status quo – Albany’s favored position.
Bad for the city…downtown…parking…and taxpayers…nothing is exempt from taxes…someone else ALWAYS has to pay for nonsense development like this.
Where in heck would they place this “off-street parking” they mention? Does that mean parking other than a parking garage structure, which is also mentioned? So, Obie, the potential buyers of these 3 parking lots, won’t have to pay property taxes for 10 years!!! No help from them on fixing Albany potholes!!
If it’s a city lot it will never generate any tax revenue, so at least at some point it will this way. If the city wants to sell it and have a say in what is done with it, there needs to some kind of negotiating and concessions. Doesn’t seem that crazy to me.
C’mon now Mac. We all know his blog comment section is only for negativity and misinformation from Gordo, Mary, and the handful of other curmudgeons! Knock it off with the common sense.
I realize Obie, or whoever, will eventually have to pay taxes if they build their hotels, BUT we need street repair right now….not in 10 years!! We will need it again, by then, or have reverted to gravel streets. Hmm! That might not be a bad idea. Some of them are almost gravel now. (And, btw, I know city owned parking lots do not pay property taxes!!)
Hering writes: “parking lots on Albany’s Water Avenue may be sold for construction of apartments or other multi-unit buildings, but it will be some time before anything is actually built.”
Hering writes: “Nothing is known publicly about what if any plans Obie has for any or all three of the parcels..”
Hering concludes: “…it looks like nothing new will happen on those parking lots…”
Seems like an episode of that Show About Nothing – Seinfeld.
We understand that Hering is no longer an “official” journalist and that his daily screed is his personal opinion targeting a niche audience of whining and complaining characters who believe they have zero responsibility for their community. That is all well and good. However this particular episode is bereft of any useful information and sheds zero light on much of anything. In essence, Hering is ginning-up the Unsubstantiated Rumor Mill with empty stories about nothing. Not particularly useful in a society that already believes that illegal immigrants are eating pet cats in Springfield.
J.H. cool it! Many people appreciate Hasso’s blogs. You must also or why would you click on his web site! No one is making you read his articles.
Thanks, Sharon, for taking on Hartman. You may be the only one who can shut him up.
I’m not for selling off the parking lots either. Those boutique hotels are not going to make a profit anyway…people are not going to pay “boutique” type prices to stay in a hotel in Albany, so they can ride a carousel or go to a kiddie splash pad. Albany is not Eugene.
Back to the parking lots…I wish the parking wasn’t all private rented spaces now. There are no public parking spaces in those lots anymore, except for some in the lot by the old tavern building that is next to Albany Civic Theater.
That rumor mill is straight from Trump’s brain trust. Depleted!!
MAGA(t)s unite in absurdity to obscurtity. See RUDE & MEAN & DUMB in any said …. google search. LOL!!!!!!!!!!!!!!!!!!!!!!!!!!!
Losing!
I’m not a Trumper, so no eating-pets-in-Springfield, Ohio-believer either. But, good story, Hasso, and good information. “All quiet on Waterfront,” instead of “All Quiet on The Western Front.” It is information on the status, Hartman.
As a downtown resident, I am very interested in this possible development and improvement to our city. I think the idea of more vitality along the river front would be a great addition. This group did great work in Eugene!
Maybe the City high and mighty might think about putting that money into the power line project for there big remake along the river . Highly Doubtful LOL
Downtown Albany soooo needs a parking garage/structure…. Way more than multi dwellings, just saying.
With all this waterfront development, people attending events end up parking blocks and blocks away.
I say NO to selling off surface parking.
STOP IT!
All …..
The FERRIS WHEEL goes here. smiling. Yeah always look out after your loved pets.
I believe it to be a foolish move. It will be like Corvallis. We hate downtown Corvallis, parking is a nightmare. You circle and circle, then your circle gets wider and wider. They have eaten up every parking space with new buildings. Downtown should be easy access not a pain in the neck. Parking is a huge attraction to outside visitors stopping by and you want to attract people to the downtown by creating easy access and parking. It’s so simple. We have a cute old town; to make it thrive, you must keep it accessible. There is no common sense anymore, it has all been squeezed out of elected official’s minds who run after developers that put Twinkies in front of them. You will NEVER be able to replace that kind of space. Downtown Albany could be a cute stopover destination for folks going to the coast. Everybody loves an old-town atmosphere. Plenty of charm here and all the funds that went in to make it so. Make the parking look cute and secure with period lighting and better paving. How many places have we all driven by because there is no parking access in our travels? Plenty. Building isn’t always the answer to growth.