Cayuga View Senior Living Construction Update, 6/2017

17 06 2017

Figure Cayuga View can probably go under the “under/construction” column. Finally.

Cayuga View Senior Living, street address 16 Cinema Drive, is one of several Ithaca-area projects attempting to make a dent in the county’s lack of senior housing. Along with affordable housing and special needs housing, senior housing is often cited as something that the county needs a lot of more of, and soon. The county’s just-released housing strategy cites the need for 100-200 subsidized units by 2025, as well as a new skilled care facility. Various forms of senior care are expected to drive demand for an additional 750 units. A fully independent market-rate senior project like this isn’t explicitly categorized, but would potentially address some of the demand for senior housing in Tompkins County.

Cayuga View is a mixed-use 60-unit project on the last vacant high density-zoned parcel in the village of Lansing. Like many projects, the Thaler Family and their business partners have taken years to get to this point. The Thalers have owned the land since 1971, and have divided it up over the years, for example subdividing the property in 2000 to accommodate the construction of the CFCU branch next door. The first record of Cayuga View is really for an entirely different plan by the Thalers – in fall 2012, they proposed “C.U. Suites”, a 3-story, 43,000 SF building with 39 apartments geared towards Cornell graduate students. Along with those units were 26 covered parking spaces and two commercial spaces.

However, after getting approval for C.U. Suites, they decided to re-tool the project. At about this time, Taylor The Builders, a construction firm based out of Rochester, came on board as the general contractor, and it was determined that the student market angle “didn’t work very well”. In 2014, the revised plan, for “Cayuga View Senior Living” was rolled out. This was larger, 4 stories and 87,515 SF, with 59-62 apartment units depending on the iteration – Manley Thaler stated it wouldn’t be affordable or take federal funds, but he hoped to fill a niche below Kendal in the senior market.

It took some time to go through Lansing village boards, planning and zoning. Cayuga View required a number of zoning variances and reviews of its legalese to clarify the rules for a 55+ community in Lansing – namely, the boards didn’t want the project to revert to general housing, and there was debate over a 10 year stipulation vs. a 20 year or 30 year stipulation (I’ve honestly never heard of senior housing switching to general housing). One BZA person was upset by the height of the building and wanted it to be one floor less, and a planning board member was upset by the lack of parking, about 100 spaces.

After approvals for a tweaked 87,359 SF building were granted in Spring 2016, the project entered a sort of stall mode while it tried to obtain financing. Cayuga View Senior Living managed to land a construction loan earlier this year. According to a construction loan filed on May 25th, Five Star Bank of Warsaw (Wyoming County) is loaning the Thaler family and their associates $10.88 million to make their project become reality. Along with the loan, the Thalers and their business partners will be putting up $1,796,450 in equity to move the project forward, bring total costs to $12,676,450. It comes out to about $145/SF, a little less (~10%) than a comparable project in Ithaca city.

Included with the project are 12 1-bedroom, 1-bath units (725 SF), 48 2-bedroom, 2-bath units (three floor plans, 900-1,110 SF), and 2,680 SF of retail space, with preference towards coffee shops, small eateries or services like a salon or barber shop. The webpage comes with rendered 3-D tours; I dunno about you folks, but if there are two glasses of wine sitting on the kitchen counter at 10 AM, my concerns aren’t going to be about unit availability. 5% of the units will be built handicap-accessbile, but all will be handicap-adaptable.

The units will be priced upmarket, $1,550/month for a 1-bedroom, $2,250-$2,775/month for a two-bedroom, plus $200/month for top floor lake view units. With that comes a community center, in-unit washer/dryer, trash removal, fitness room, wi-fi, library/computer room, intercoms, rooftop garden, basic cable TV and pets under 30 lbs. for an additional monthly fee. Hot water shouldn’t be listed as a feature, but what do I know.

According to their Facebook page, Cayuga View S.L. will be ready for occupancy by Spring 2018. NH Architecture‘s Roger Langer is the project architect. Note in the foundation excavation photos that the building will be built into the slope of the hill – four floors in the front (east), five in the back (west). There has yet to be an updated site plan posted, but parking will mostly be on the side facing the bank.

At the end here is a shot of the Triphammer Apartments/former Chateau Claire renovation across the street. That is a separate $1.14 million project by Park Grove Realty to renovate 64 ca. 1960 apartment units (kitchen and bathroom remodeling, washer-and-dryer installations, roof repair, new balconies, gutters, landscaping and lighting), add parking stalls and a 425 SF rental office.

 





News Tidbits 6/3/17: The Return, Part I

3 06 2017

My apologies for the lack of a weekly round-up. My day job has been busier than usual, and the list of topics just kept growing, making it an even more daunting task. Gonna try and work through a few at a time until everything’s caught up.

1. Cornell and EHVP’s East Hill Village webpage has started to flesh out their Q&A regarding the mixed-use megaproject slated to replace East Hill Plaza. Here are a few details:

– Cornell wants to make it clear that all images to date, include the conceptual from the master plan above, are strictly conceptual and have little bearing on the final product. The more realistic and nuanced take is that Cornell has an idea of what they want and the program format they want it in, for broad concepts like housing capacity, commercial/research space and general urban planning. In terms of an actual layout or tenant specifics, they probably don’t have much.

– Perhaps in response to a Voice commenter and former Ithaca town planning board member who accused the university of segmentation (meaning, during environmental review they illegally broke up a project into phases to avoid a greater analyses and to downplay impact), the FAQ notes that they didn’t really have this fleshed out and it’s separate from Maplewood. Given the size, scale, that it’s a physically separated set of properties, and vague goals they’re walking into this with, that’s a fair statement. If this were, say, a replacement for Ithaca East, which borders Maplewood, it’d be a different story.

– The current thinking is to keep the main retail strip, which was requested at the first community meeting. However, they may take down a portion of it to create a through-street, and reconfigure/relocate the parking.

– They haven’t written off pursuing a PILOT or tax abatement. They are exploring an affordable housing component. Eco-features like solar arrays, heat pumps and net-zero structures are being considered.

– Meetings will continue through the summer, with concept plans prepared for the town by the fall. Construction on the first phase would begin in 2019. It will be multi-phase.

No second meeting has been posted yet, but keep an eye out for updates.

2. Making its round around local governments and news outlets is a recently-published study by local structural engineering firm Taitem that tells of good news for heat pumps, and maybe serve to county one of the town of Lansing’s arguments regarding the West Dryden natural gas pipeline. Although the firm is a promoter of green initiatives, their study indicated that financially, the technological advancement in heat pumps over the past several years has made them competitive with natural gas, although each has pros and cons. For smaller units, a 1,500 SF townhouse in the study, it was found that an air-source heat pump was slightly less in annual cost than a natural gas furnace – for a modeled 4,000 SF detached custom home, it was a few percent more. Ground-source pumps were more expensive (but slightly “greener” than air pumps), and propane was the most costly, as well as the biggest carbon emitter. Although contractors are still adapting to heat pumps, the cost is decreasing somewhat as their use spreads and familiarity grows.

However, not everything is roses, at least not yet. For large-scale commercial and industrial operations whose heating needs are substantially greater, it appears that heat pumps have yet to be competitive, and even Taitem’s Ian Shapiro acknowledges that’s likely the case at present. But while the pipeline will continue to be an issue for larger commercial enterprises, homebuilders and residential developers should be able to adapt without too much additional financial burden or risk.

For the sake of example, the Village Solars charged a modest premium on rents when they went with pumps a few years ago (due to installation costs rather than operating costs), but having a strong product makes up for the extra short-term investment, the costs will potentially balance out over a few decades, and frankly, it makes for good marketing in eco-conscious Tompkins County.

I’ll admit to being skeptical over the past few years, and I still have concerns for economic impacts like the MACOM decision, but at least from a residential construction standpoint, the Village Solars and this study are making a strong statement.

3. Move this one into the “construction” column – Cayuga View Senior Living has secured a construction loan. The mixed-use, 60-unit senior housing project at 25 Cinema Drive in Lansing village has been in stall mode for a year as financing remained elusive. However, according to a construction loan filed on May 25th, Five Star Bank is loaning the Thaler family and their associates $10.88 million to make their project become reality. Along with the loan, the Thalers and their business partners will be putting up $1,796,450 in equity to move the project forward, bring total costs to $12,676,450.

Here’s a cost breakdown – individual figures are blocked out to avoid potential legal issues. But for the sake of illustration, here is the breakdown of the finances. Source of funds to the left, breakdown of hard and soft costs to the right. Breaking down the terms, we’ll start with the hard costs: easements are the legal right to use someone else’s land for your own use – often seen with utilities, they can also be used for private improvements like sewer, solar, paths or driveways/parking. Site improvements include landscaping, driveways, and drainage. Building Cons. costs are actual materials/labor expenses, and tenant improvements are the costs of fitting out retail space as part of a lease agreement. Lastly, general conditions are a catch-all for non-construction labor costs, including site management like porto-potty rental and temp utilities, material transport costs and project management – for this project, site management falls under the general contractor, Taylor the Builders of Rochester.

Soft costs include contigency (cover your rear allowance),  overhead developer profit (the amount needed to compensate the development team, which isn’t necessarily the exact same group as those putting up equity, for taking on this project), construction interest and LOC [Line of Credit] fees to the lender, and other line items that are either self-explanatory or too vague to ascribe. At $145/SF, the cost is a fair 10% less than a similar project in Ithaca city (offhand, 210 Hancock’s apartments are ~$160/SF), which can be explained in part by lower land costs and a less complicated site to work within, and to get in and out of.

Five Star Bank is a regional bank based out of Wyoming County in the western part of the state. They hold a few local mortgages, but this appears to be their first construction loan recorded in Tompkins County.

4. I’ll wrap up “Part 1” with a piece of interesting news – Cornell found a buyer for their printing facility and warehouse on Ithaca’s West End. According to a county filing on June 2nd, Guthrie Clinic is paying $2.85 million for the properties at 750 and 770 Cascadilla Street, which is over the asking price of $2.7 million. For that they get 3.12 acres, a 37,422 SF warehouse built in 1980, and a 30,000 SF storage facility built in 1988 and currently leased out.

Guthrie is a regional healthcare provider based out of Sayre, Pennsylvania – their premier facility is the 254-bed Robert Packer Memorial Hospital, which Ithacans might know as one of two locations someone is likely to be transported to in the event of a severe injury (the other being University Hospital up in Syracuse). For the record, Cayuga Medical Center has 204 beds.

Guthrie’s presence in Tompkins County includes some specialty offices and an existing 25,000 SF clinic at 1780 Hanshaw Road in Dryden. That building first opened in 1995, with an addition in 2000. Guthrie has been a building spree as of late, with a 25-bed hospital in Troy, PA that opened in 2013, and a 65-bed hospital in Corning that opened in 2014.

As for what they want to do on Ithaca’s West End, well, I’m working on figuring that one out. I’m hoping the Times writers who follow the blog will cut me some slack and let me try to unravel this one.

 





News Tidbits 3/18/17: Shoveling Snow to Dig Foundations

18 03 2017

1. A lot of Lansing stuff this week. Let’s start off with a brief update. It’s been about a year since the Thaler family received approvals for their 60-unit mixed-use Cayuga View Senior Living project on Cinema Drive in the village of Lansing. Well, it looks like they are finally ready to get under construction. The County Office of Aging included the project in their list of projects underway, and a check of the project’s Facebook page says they are starting construction this spring for a Spring 2018 opening. The upmarket project will contain 48 1-bedroom units and 12 2-bedrooms units, on a vacant parcel that is one of the last undeveloped high-density properties left in the village. Taylor the Builders will be the general contractor.

2. For a while now, the town of Lansing has been touting a figure of about 900 housing units being held up by the gas moratorium. Here are the statistics to back that up.

Now, the document from town planner Mike Long suggests that for multi-phase projects with some units already complete, the balance has been applied to the summation. If that’s the case, than Village Solars is shooting for a much larger buildout than originally anticipated. The doucment says that still plan on building 423 units. That’s a lot more than the ~310 currently on file. The first stage was increased from 174 to 206 as the result of unit-splitting, so the second set of phases may now have 217? That seems to be what’s implied here.

Note that the gas moratorium is a complication for the Village Solars, but not a project stopper. The newer buildings use electric heat pumps, which are a little more expensive than conventional gas, but they were able to pass the costs on within the rents (+$50/month) without much issue.

3. On another note with that town study, most of the projects noted have already been aired – Cayuga Farms on North Triphammer Road, the Pinney duplexes off of Scofield Road, Schickel’s Farm Pond Circle, and so on. However, a couple are new.

One appears to be a project called “English Village”. It consists of 59 townhomes and 58 single-family home lots. The other is “Cayuga Farms with Lake View”, which lists 30 units. The next has been cast for information, so watch this space.

4. Eric Goetzmann’s senior housing is finally ready to move forward, according to Dan Veaner at the Lansing Star. Lansing Meadows looks to be aiming for about 20 units of senior housing on Oakcrest Road, and a small commercial retail component that complements the housing – an idea being tossed around in the Star article is a coffee shop.

Technically, a coffee shop isn’t allowed in the 2011 PDA that approved BJ’s and the units, but it’s a minor change from the neighboring zoning, and likely to pass without issue. The senior units have been delayed for several years because Goetzmann bit the bullet and built wetlands to replace those that would be disrupted by construction, as required by state law; the U.S. Army Corps of Engineers had to review and sign off on the newly-created salt marsh as satisfactory. That only happened last October.

5. The Ithaca Landmarks Preservation Commission is looking at options for a Collegetown Historic District. Initially, they wanted the 400 Block of College Avenue, the 100 Block of Oak Avenue, Cascadilla Hall, the College Avenue Bridge and 116 Summit Avenue. Then after consultation, they realized that may be a little too much to try and justify to the rest of the city, so it seems they want to move ahead with two individual designations instead – the CTB Building (403 College, the Larkin Block), and 411-15 College Avenue (Stella’s, the Chacona Block). Both are older buildings in the valuable MU-2 zone. The Avramises, who own the Chacona block, did talk about wanting to redevelop it at some point, but that was almost a decade ago, and there haven’t been any formal plans. I can see some kvetching from the ownership, but it seems unlikely that the city will argue against historic designation for these two properties if it moves forward.

6. Looking at the agendas for local planning boards – the town of Ithaca will be looking at a renovation at East Hill Plaza (former Wings into Sedgwick Office Interiors), a 2-lot subdivision on Bundy Road, and a 10,100 SF warehouse/industrial operation at Greentree Nursery’s new building at 142 Ithaca Beer Drive. The Bundy Road subdivision is the big purcahse mentioned a couple of weeks ago – the buyers want to subdivide a 2.27 acre section and have no plans for other 64.7 acres.