Ann Arbor CFO warns that 60-day purchase delay possible for Village Green deal
Ann Arbor City Council members received an update Monday night on the long-awaited Village Green project, which calls for a 156-unit complex called Ann Arbor City Apartments on city-owned property at the corner of First and Washington downtown.
The city entered into an option-to-purchase agreement with the developer in February 2007 and it was amended last year to extend the term of the option to June 1, 2011. The city administrator later exercised authority to extend the timeline to Aug. 30, 2011.
Village Green has plans for an 11-story (8 above grade) project that, in addition to apartments, also includes a 244-space parking garage. The Downtown Development Authority will manage the public parking structure, which will be owned by the city.
The city had long intended to sell the property to Village Green for $3.3 million, and it has budgeted $3 million of that toward the police-courts building addition to city hall.
After a vote by the council last month, that price is now $3.2 million. The reason for the change has to do with flooding issues that are being addressed through revisions to the foundation design, specifically how it will handle the below-ground water table.
Crawford said officials are continuing to work on a so-called "bathtub" design for areas where the water table could rise to meet the deck's foundation.
"That project has been progressing," he said. "And because we're working out the integration of the bathtub design and a refinement of the interior to provide as best as possible parking experience, I will likely need to come back to council on that project for maybe another 60-day extension, as we're working on the construction drawings and those refinements."
Crawford stressed the project is "moving along" and said the developer still is hoping to break ground this construction season.
According to a project timeline from last fall, the city had been expecting the sale of the land to happen by June 1.
Ryan J. Stanton covers government and politics for AnnArbor.com. Reach him at email@example.com or 734-623-2529. You also can follow him on Twitter or subscribe to AnnArbor.com's e-mail newsletters.